USD exchange rate today (June 4): USD recovers slightly

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 0.55%, currently at 99.25.

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

USD exchange rate today in the world

The US dollar continued to face downward pressure on June 4 amid growing concerns over trade tensions and macroeconomic factors in the US. Despite a slight recovery from a six-week low, the overall outlook still shows a weakening trend for the greenback.

The dollar rose 0.9% against the yen to 144.00. The euro fell 0.6% to $1.1371, after briefly hitting a six-week high of $1.1454. Earlier data showed euro zone inflation has slowed below the European Central Bank's 2% target, bolstering expectations of a rate cut later this week.

The USD/JPY exchange rate may continue to be volatile in the short term, depending on the developments in the US-China trade negotiations and the monetary policy of the Bank of Japan (BOJ). If the BOJ maintains low interest rates while the US Federal Reserve (Fed) maintains a cautious stance, the USD may continue to strengthen against the Japanese Yen. However, any signs of a tightening of monetary policy by the BOJ or rising trade tensions could support the yen as a safe-haven asset.

BOJ Governor Kazuo Ueda said the bank is ready to raise interest rates if there is clear evidence of economic recovery and sustainable inflation. However, with core inflation still below the 2% target and economic growth slowing, the BOJ will maintain its easy monetary policy in the near term.

Macroeconomic factors in the United States have also contributed to the downward pressure on the dollar. Concerns about a weak labor market and rising federal debt, especially as the U.S. Senate considers a tax and spending bill that could add $3.8 trillion to the national debt over the next decade, have reduced the appeal of U.S. assets to investors.

The USD/EUR exchange rate recorded many notable fluctuations in the context of the global market being affected by trade tensions and macroeconomic factors. According to data from Reuters, the EUR/USD exchange rate decreased by 0.59% to 1.14 USD/EUR. The foreign exchange market is reflecting the cautious sentiment of investors in the face of uncertainties about trade policies and the global economic outlook. Factors such as geopolitical tensions, weak economic data and monetary policies of central banks will continue to affect the USD/EUR exchange rate in the coming time.

Analysts say that while there may be short-term rallies, the overall trend suggests the US dollar will continue to weaken in the coming period, as investors shift to lower-priced global markets.

Illustration: CNBC

Domestic USD exchange rate today

In the domestic market, at the beginning of the trading session on June 4, the State Bank announced the central exchange rate of the Vietnamese Dong against the USD increased by 12 VND, currently at 24,982 VND.

* The reference exchange rate at the State Bank's transaction office has slightly decreased, currently at: 23,783 VND - 26,181 VND.

USD exchange rates at commercial banks are as follows: