Meanwhile, in the US market, the US Dollar Index (DXY) measuring the greenback's fluctuations against six major currencies (EUR, JPY, GBP, CAD, SEK, CHF) decreased by 0.77% to 103.56.

USD exchange rate in the world today

The dollar suffered its worst daily decline in nearly a month on Thursday as U.S. manufacturing data and comments from Federal Reserve officials reinforced expectations the central bank may skip an interest rate hike at its upcoming meeting.

DXY Index volatility chart over the past 24 hours. Photo: Marketwatch.

Fed officials have indicated the need to pause interest rate hikes at their June 13-14 meeting, giving the central bank time to assess the impact of its tightening cycle so far amid persistently high inflation. Philadelphia Federal Reserve President Patrick Harker said on June 1 that the US central bank should not raise interest rates at its next meeting, despite high inflation that is falling at a slow pace.

Markets are pricing in about a 32% chance the Fed will raise rates by 25 basis points at its June meeting, compared with nearly 67% a day earlier, according to CME's FedWatch tool.

Meanwhile, U.S. private payrolls data released on June 1 showed that employment increased more than expected, with an increase of 278,000 jobs in April. This could lead to the Fed keeping interest rates on hold for a while. However, new orders continued to fall sharply amid higher interest rates.

In a contrasting development, the euro recovered from a two-month low after European Central Bank (ECB) President Christine Lagarde stressed the need for further policy tightening.

Data released on June 1 showed that inflation in the 20 countries sharing the euro fell from 7.0% in April to 6.1% in May, below economists ' expectations of 6.3%, and more than three times higher than the ECB's 2% target.

Markets are currently pricing in an 85% chance of a 25 basis point ECB rate hike at its policy meeting on June 15.

USD exchange rate today (June 2): World market drops sharply, domestic market maintains upward momentum. Illustration photo: Reuters.

Domestic USD exchange rate today

In the domestic market, at the end of the trading session on June 1, the State Bank announced the central exchange rate of the Vietnamese Dong to the USD increased by 15 VND, currently at: 23,729 VND.

* The reference exchange rate at the State Bank's transaction office increased slightly, currently at: 23,400 VND - 24,865 VND.

USD exchange rates at commercial banks are as follows:

USD exchange rate

Buy

Sell

Vietcombank

23,310 VND

23,650 VND

Vietinbank

23,270 VND

23,690 VND

BIDV

23,335 VND

23,635 VND

* The Euro exchange rate at the State Bank's exchange office decreased slightly to: 24,100 VND - 26,737 VND.

Euro exchange rates at commercial banks are as follows:

Euro exchange rate

Buy

Sell

Vietcombank

24,647 VND

25,766 VND

Vietinbank

24,360 VND

25,650 VND

BIDV

24,685 VND

25,792 VND

MINH ANH