The U.S. dollar showed resilience against the Vietnamese dong Wednesday morning, even as it traded at a one-week low against major world currencies.
Vietcombank set the greenback at a steady VND26,446, while in the informal market, it remained unchanged at around VND26,620. Meanwhile, the State Bank of Vietnam adjusted its rate down by 0.008%, bringing it to VND25,192.
On the global stage, the dollar lingered near a one-week low, with tensions rising as the U.S. government shutdown commenced, delaying vital jobs data essential for market assessment, according to Reuters.
The dollar index, which measures the currency against six major peers—including the euro and yen—was recorded at 97.814. It dipped to a low of 97.633 overnight, marking a notable decline since last Wednesday.
Across the Atlantic, the euro edged up slightly to $1.1738, following a rise to its highest point since September 24, when it hit $1.1762 on Tuesday. The dollar remained flat at 147.92 yen, following a 1.2% drop over the previous three days.
With the lack of official economic data, attention is shifting towards private-sector indicators. Market responsiveness to the duration of the shutdown will heighten, particularly as the Federal Reserve’s decision on monetary policy approaches on October 29.
“The USD will likely resume its descent today if political developments portend a prolonged shutdown,” commented Joseph Capurso, head of foreign exchange at Commonwealth Bank of Australia. “Additional weak economic data from the U.S. could exacerbate these conditions,” he added, a statement that underscores the precarious balance the dollar now faces.
What is the current exchange rate of the U.S. dollar against the Vietnamese dong?
Vietcombank set the dollar at VND26,446, with the black market rate around VND26,620.
How is the U.S. government shutdown affecting the dollar’s performance?
The shutdown has created uncertainty, delaying the release of crucial jobs data, which could negatively impact the dollar’s value.
What are market experts predicting for the dollar in the coming days?
Experts suggest that the dollar could continue to fall if the political situation indicates a prolonged government shutdown and further weak economic data emerges.
