USD exchange rate today May 14, 2025: Domestic price increases sharply, free market is stable

World USD exchange rate on May 14, 2025

The U.S. Dollar Index (DXY), which tracks the greenback against a basket of currencies, edged down to 101.44, reflecting investor caution over the lack of specifics in a U.S.-China trade deal.

Apart from the commitment to reduce tariffs, the agreement does not provide a clear timeline or content, leaving the market questioning its actual effectiveness, similar to the previously announced UK-US trade deal.

On the economic front, the US Consumer Price Index (CPI) for April was released in line with expectations, showing no signs of inflationary flare-ups as feared. The overall CPI for April rose 0.2%, lower than the forecast of 0.3% and higher than the 0.1% decrease in March.

On an annual basis, the CPI rose 2.3%, down slightly from 2.4% the previous month. The core CPI, which excludes food and energy, rose 0.2% in the month, below expectations for a 0.3% gain and slightly up from March's 0.1%. On an annual basis, the index held steady at 2.8%, in line with forecasts.

Chicago Fed President Austan Goolsbee warned that even without new tariffs, current tariffs would be enough to create inflationary pressures, but that warning was not reflected in the recently released CPI figures.

On the political front, US President Donald Trump has criticized the European Union (EU), saying that the EU is even “worse than China” in its trade treatment of the US. He asserted that the US has the upper hand and will “just start” in negotiations with the bloc.

The National Federation of Independent Business (NFIB) also released its Business Optimism Index for April, which came in at 95.8, down from 97.4 last month but still above expectations of 94.5. The result shows that business confidence has declined slightly but remains in positive territory.

The US stock market reacted positively, with the index rising nearly 1%, thanks to the relief that inflation is not rising too fast. The stable data also helped investors reduce concerns that the Fed will continue to maintain a tough stance on interest rates.

According to the CME FedWatch tool, the probability of the Fed cutting interest rates at the June meeting is only 8.2%. Meanwhile, the probability of cutting interest rates at the July 30 meeting is about 38.6%.

The yield on the 10-year US government bond is currently trading around 4.47%, suggesting the market is still reassessing the possibility of Fed action after a series of unsurprising CPI data.

USD exchange rate today May 14, 2025: Domestic price increases sharply, free market is stable

Domestic USD exchange rate today

In the "black market", the black market USD exchange rate as of 4:30 a.m. on May 14, 2025 remained unchanged in both directions compared to yesterday's trading session, trading around 26,380 - 26,500 VND/USD.

In the domestic market, at the beginning of the trading session on May 14, the State Bank announced the central exchange rate of the Vietnamese Dong to the USD at 24,973 VND, an increase of 28 VND compared to yesterday.

* The reference exchange rate at the State Bank's transaction office for buying and selling remains unchanged, currently at: 23,775 VND - 26,171 VND.

USD exchange rates at commercial banks are as follows: