USD exchange rate today (December 20, 2024): USD continues to maintain its upward momentum above the 108 mark

USD exchange rate today (December 20, 2024): Early morning of December 20, 2024, the State Bank announced the central exchange rate of Vietnamese Dong to USD increased by 26 VND, currently at 24,304 VND.

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) increased by 0.37%, currently at 108.40.

USD exchange rate today in the world

The dollar hovered near a two-year high on Tuesday after the Federal Reserve cut interest rates and signaled a much slower path to monetary easing through 2025, while the yen weakened against the greenback after the Bank of Japan decided to keep interest rates unchanged.

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

The dollar edged up after falling earlier in the session, following stronger-than-expected US third-quarter GDP data that showed the economy grew at an annualized rate of 3.3%.

With these positive data, the Fed will be more cautious in easing monetary policy. Last week, employment data showed a larger-than-expected drop in the number of unemployment claims to 220,000.

Currencies around the world fell sharply on December 18 after the Fed's decision sent yields higher and boosted the dollar.

The DXY index, which measures the greenback against six other currencies, hit a high of 108.48, surpassing the 108.18 level reached in the previous session, which was its highest since November 2022.

This week was a busy one with central banks holding their final policy meetings of 2024. The Bank of Japan kept interest rates unchanged as expected, but the yen fell sharply as Governor Kazuo Ueda gave little indication of what to do in a post-meeting press conference.

The dollar rose 1.63 percent against the yen to 157.55, its highest since July.

“Central bank decisions have generally been very supportive of the dollar. The Fed has cut rates in a hawkish way and the Bank of Japan has kept rates on hold in a dovish way, and those are probably the two main drivers,” said Vassili Serebriakov, foreign exchange strategist at UBS in New York.

In another development, the EUR fell 1.34% in the trading session on December 18, then struggled to increase 0.16%, reaching 1.036650 USD.

Meanwhile, the Bank of England kept interest rates unchanged at 4.75% as expected at its meeting on December 19. The pound fell 0.58% to $1.25.

The Canadian dollar fell to its lowest level in more than four years. The Korean won fell to its lowest level in 15 years.

Fed Chairman Jerome Powell said further cuts in borrowing costs now depend on further progress in cooling inflation.

The Swedish and Norwegian currencies both recovered against the US dollar, after Sweden's Riksbank cut interest rates, while Norway's Norges Bank kept rates unchanged.

USD exchange rate today, December 20, 2024: USD continues to maintain its upward momentum above the 108 mark. Photo: Reuters

USD exchange rate today domestic

In the domestic market, at the beginning of the trading session on December 20, the State Bank announced the central exchange rate of the Vietnamese Dong against the USD increased by 26 VND, currently at 24,304 VND.

* The reference exchange rate at the State Bank's transaction office remains unchanged, currently at: 23,400 VND - 25,450 VND.

USD exchange rate at commercial banks buy and sell as follows: