USD exchange rate today (May 18): USD continues to increase for 4 weeks...

The USD Index (DXY), which measures the greenback's performance against six major currencies, rose 0.64% this week to 100.98.

USD exchange rate in the world last week

The dollar rose 1.44% to 101.78 on Monday as the US and China reached a temporary deal to cut tariffs on each other's goods and ease concerns that a trade war between the world's two largest economies could lead to a global recession. Specifically, the US reduced tariffs on Chinese goods from 145% to 30% for 90 days. In return, China reduced tariffs on US goods from 125% to 10% over the same period. Traders have reduced expectations for the Fed and the European Central Bank to cut interest rates as the economic outlook improved following the Sino-US trade deal. Markets are now betting that the first cut of at least 25 basis points from the US Federal Reserve is likely to come at the central bank's September policy meeting, later than last week's forecast of July.

Chart of DXY Index fluctuations over the past week. Photo: Marketwatch

The greenback fell 0.86% to 100.93 on May 14 after new data showed U.S. consumer inflation rose less than expected in April. The U.S. Bureau of Labor Statistics said its consumer price index rose 0.2% in April, bringing the annual increase to 2.3% from 2.4%. Economists polled by Reuters had forecast a 0.3% monthly increase and a 2.4% annual increase. Bill Adams, chief economist at Comerica Bank in Dallas, said the report was good news. Inflation will be under control for most consumers and businesses by 2025.

The DXY index recovered slightly by 0.07% to 101.02 on May 15 as investors awaited fresh signs that global trade tensions would continue to ease. Amid easing trade tensions, the market has reduced expectations for the Fed to cut interest rates this year, according to LSEG data, pricing in a 74% chance of a first cut of at least 25 basis points at the central bank’s September meeting. Several major brokerages, including Goldman Sachs, JPMorgan and Barclays, have recently scaled back their forecasts for a US recession and their views on Fed easing.

The dollar fell 0.23% to 100.81 on May 16 after a series of economic data, including data showing retail spending slowed in April, as the uncertain economic outlook weighed on investor sentiment. The Commerce Department said retail sales rose 0.1% last month after a 1.7% increase in March. The March increase was partly due to accelerated purchases of items such as cars ahead of President Donald Trump's April 2 tariff announcement. In a separate report, the Labor Department said its producer price index (PPI) fell 0.5% in April. The index was dragged down by lower demand for air travel and hotel accommodation due to Trump's trade policies.

The greenback ended the week up 0.10% at 100.98 amid the latest economic data showing a recovery in import prices, while consumer sentiment remained low, as concerns about tariffs spiked, putting the dollar on track for a fourth straight weekly gain. The Labor Department said import prices rose 0.1% last month, after falling 0.4% in March, as the cost of goods rose more sharply amid cheaper energy. Economists polled by Reuters had forecast import prices, excluding tariffs, falling 0.4%.

USD exchange rate today, May 18: USD continues to increase for 4 consecutive weeks. Illustration photo: vietnamplus

Domestic USD exchange rate today

In the domestic market, at the beginning of the trading session on May 18, the State Bank announced the central exchange rate of the Vietnamese Dong against the USD increased by 9 VND for the week, currently at 24,960 VND.

* The reference exchange rate at the State Bank's transaction office has slightly decreased, currently at: 23,762 VND - 26,158 VND.

USD exchange rates at commercial banks are as follows: