An employee counts U.S. banknotes at a bank in Hanoi. Photo by VnExpress/Giang Huy
The U.S. dollar surged to another high against the Vietnamese dong Friday morning while holding firm against major peers.
Vietcombank sold the greenback at a record VND26,562, up 0.1% from Thursday’s VND26,536.
The currency has consistently risen at banks in the last few days and repeatedly established new peaks against the dong. On the black market, the dollar went up by 0.03% to around VND26,648.
The State Bank of Vietnam increased its reference rate by 0.1% to VND25,298.
Globally, the U.S. dollar was steady on Friday, poised for a strong weekly performance as investors gear up for an eagerly anticipated speech from the Federal Reserve Chair Jerome Powell that could shape the near-term path for interest rates, Reuters reported.
“Powell is unlikely to pre-commit to a September cut,” said Charu Chanana, chief investment strategist at Saxo. “With another inflation and payrolls print still due before the September meeting, Powell has every reason to stay patient and keep optionality open.”
The U.S. dollar index, which tracks the greenback against a basket of currencies of major trading partners, was steady at 98.60 after four consecutive days of gains. It was on course for a 0.7% rise in the week, snapping its two-week losing streak.
The euro last bought $1.1613, down 0.8% for the week, while sterling was steady at $1.3416, down nearly 1% for the week. The yen fetched 148.45 per dollar in early trading and is on course for a weekly drop of over 0.8%, its biggest decline in a week since mid-July.
The Australian dollar was little changed at $0.6425, set for a 1.2% drop for the week, while the New Zealand dollar eased a tad to $0.58145, on course for a 1.8% weekly decline, its biggest drop in more than four months.
