An employee holds U.S. dollar bank notes at a money changer in Jakarta, Indonesia, April 9, 2025. Photo by Reuters
The U.S. dollar rose against the Vietnamese dong but tumbled against the euro Tuesday morning.
Vietcombank sold the dollar 0.04% higher at VND26,310, highest since June 24.
The State Bank of Vietnam hiked its reference rate by 0.02% to VND25,058.
The greenback was raised 0.08% to VND26,500 at unofficial exchange points.
Globally the U.S. dollar languished at its weakest against the euro since September 2021 on Tuesday, as President Donald Trump’s spending bill stoked fiscal worries and uncertainty around trade deals continued to weigh on sentiment, Reuters reported.
The dollar index, which measures the U.S. currency against six others, slipped to 96.688, its lowest since February 2022.
The euro perched at a near four-year high of $1.179. The single currency surged 13.8% in the January-June period, its strongest-ever first half performance, LSEG data showed.
Sterling was steady at $1.3737, not far from the three-and-a-half-year high it touched last week, while the Japanese yen firmed to 143.68 per dollar. The yen has gained 9% in the first half of the year, its strongest performance since 2016.
“There are many reasons not to like the USD. Some are structural, like the erratic trade policies and fiscal risks,” said Moh Siong Sim, a currency strategist at Bank of Singapore.
“They have earlier caused the USD to weaken despite its relative yield advantage. But the risk of a more dovish Federal Reserve eroding USD’s yield advantage is the latest source of USD weakness.”
