USD "in tatters", EUR slightly increases

Foreign exchange rates, USD/VND exchange rate today, August 22, recorded that the USD has fallen to its lowest level in more than a year compared to the EUR and the British Pound.

Foreign exchange rate update table - Vietcombank USD exchange rate today

Exchange rate developments in the domestic market

In the domestic market, according to TG&VN at 7:30 a.m. on August 22, the State Bank announced the central exchange rate of the Vietnamese Dong against the USD at 24,246 VND, down 5 VND.

The reference USD exchange rate at the State Bank's Transaction Office is listed at: 23,400 VND - 25,450 VND.

USD exchange rates at commercial banks buying and selling are as follows:

Vietcombank: 24,730 VND - 25,100 VND.

Vietinbank : 24,650 VND - 25,100 VND.

USD exchange rate temporarily increased today. (Source: Bloomberg)

Exchange rate developments in the world market

The Dollar Index (DXY), which measures the USD against six major currencies (Euro, JPY, GBP, CAD, SEK, CHF), stopped at 101.14, down 0.30%.

The dollar fell to its lowest in more than a year against the euro and sterling, after data showed employers added fewer jobs than previously expected.

The release comes ahead of a highly anticipated speech by Federal Reserve Chairman Jerome Powell at the Kansas City Fed's Jackson Hole Economic Symposium on August 23. Investors are watching the event for any new clues on his views on the labor market.

Markets are looking for details on the size of the rate cut at the Fed's September 17-18 meeting and whether borrowing costs are likely to be lowered at each subsequent Fed meeting.

Last month, Fed officials expressed a hawkish view on cutting interest rates at their September policy meeting, and some of them were even willing to reduce borrowing costs immediately, according to minutes from the July 30-31 meeting, released on August 21.

Traders are now pricing in a 38% chance of a 50 basis point cut next month, up from 33% at the start of trading on August 21, and a 62% chance of a 25 basis point cut, according to CME Group's FedWatch Tool.

“The Fed has been more accommodative now and for the rest of the year, but I don’t think that the data will justify a 50 basis point cut,” said Adam Button, chief currency analyst at ForexLive in Toronto. “We know it’s been a solid year of economic growth, corporate earnings have been solid and the economy has been growing at a good rate.”

In contrast, the EUR increased by 0.27% to 1.116 USD, the highest level since July 2023. Meanwhile, the GBP increased by 0.59% to 1.3101 USD, also the highest level since July 2023.

The US dollar fell 0.34% to 144.74 Japanese Yen, its lowest level since August 7.

Bank of Japan Governor Kazuo Ueda is expected to discuss last month's rate hike decision in parliament later this week.

A majority of economists in a Reuters poll said the Bank of Japan will raise interest rates again later this year.

Source: https://baoquocte.vn/ty-gia-ngoai-te-ty-gia-usdvnd-hom-nay-228-usd-ta-toi-eur-bat-tang-nhe-283436.html