Economic news review February 12

The central exchange rate increased by 28 VND, the VN-Index decreased slightly by 1.54 points, or by the end of 2024, the State Treasury successfully bid for 10,036 billion VND/12,000 billion VND of government bonds... are some notable economic news on February 12.

Economic news review

Domestic news

Foreign exchange market, session 12/02, State Bank listed the central exchange rate at 24,550 VND/USD, an increase of 28 VND compared to the previous session.

The USD buying price was listed by the State Bank of Vietnam at 23,373 VND/USD, 50 VND higher than the floor rate, while the USD selling price was listed at 25,727 VND/USD, 50 VND lower than the ceiling rate.

On the interbank market, the dollar-dong exchange rate closed at 25,550 VND/USD, a slight increase of 10 VND compared to the session on February 11.

The dollar-dong exchange rate on the free market decreased slightly by 10 in both buying and selling directions, trading at 25,660 VND/USD and 25,750 VND/USD.

Interbank money market, February 12, the average interbank VND interest rate decreased sharply by 0.37 - 0.89 percentage points in all terms from 1 month or less compared to the previous session; specifically: overnight 4.53%; 1 week 4.66%; 2 weeks 4.83 and 1 month 5.01%. The average interbank USD interest rate remained unchanged in most terms except for an increase of 0.01 percentage point in the 2-week term, trading at: overnight 4.36%; 1 week 4.40%; 2 weeks 4.50%, 1 month 4.55%.

Government bond yields in the secondary market continued to increase sharply across all terms, closing at: 3-month 2.13%; 5-month 2.42%; 7-month 2.76%; 10-month 3.10%; 15-month 3.29%.

In open market operations, on the mortgage channel, the State Bank of Vietnam bid 10,000 billion VND for a 7-day term and 10,000 billion VND for a 14-day term, with interest rates at 4.0%. There were 16,653.11 billion VND in winning bids; 35,000 billion VND maturing. The State Bank of Vietnam bid 7-day SBV bills, bidding for interest rates. There were 4,999.9 billion VND in winning bids; 4,050 billion VND maturing bills.

Thus, the State Bank of Vietnam net withdrew VND 19,296.79 billion from the market in yesterday's session.

Bond market, February 12, the State Treasury successfully bid 10,036 billion VND/12,000 billion VND of government bonds called for bid (winning rate reached 84%). Of which, the 10-month term mobilized the entire 10,000 billion VND of the call and the 30-month term mobilized 36 billion VND/500 billion VND of the call. The 5-month and 15-month terms called for bids of 500 billion VND and 1,000 billion VND respectively but there was no winning volume in both terms. The winning interest rate for the 10-month term was 2.94% (+0.06 percentage points compared to the previous auction) and for the 30-month term was 3.25% (unchanged).

Stock market, yesterday, the indices moved in opposite directions, cautious sentiment appeared. At the end of the trading session, VN-Index decreased slightly by 1.54 points (-0.12%) to 1,266.91 points; HNX-Index added 0.45 points (+0.20%) to 229.32 points; UPCoM-Index inched up 0.05 points (+0.05%) to 96.80 points. Market liquidity decreased compared to the previous session with a trading value of nearly 12,500 billion VND. Foreign investors net sold nearly 500 billion VND on all 3 floors.

According to the State Bank of Vietnam's report, by the end of 2024, the total group 2 debt (loans with warning signs of risk) at commercial banks was more than VND 211,709 billion, accounting for 1.25% of total outstanding loans. This figure has decreased by 7% compared to the end of 2023. Of which, the group of joint stock commercial banks accounts for the majority with more than VND 118,756 billion, equivalent to 56.1% of the total group 2 debt of the entire commercial banking system. The on-balance sheet bad debt of commercial banks as of December 31, 2024 was more than VND 733,904 billion, an increase of 3.4% compared to the end of 2023.

International News

The US Census Bureau announced that the core CPI and headline CPI in the country increased by 0.4% and 0.5% respectively compared to the previous month in January, following the increase of 0.2% and 0.4% in the previous month, and higher than the forecast of both increasing by 0.3%.

Accordingly, the overall CPI in the US increased by 3.0% compared to the same period last month, contrary to the forecast of unchanged at 2.9% as in the statistical results of December 2024. The main reason for the unexpected sharp increase in CPI last month was mainly due to the increase in fuel oil prices by 6.2%, gas prices by 1.8% and transportation service prices by 1.8% compared to the previous month.

Source: https://thoibaonganhang.vn/diem-lai-thong-tin-kinh-te-ngay-122-160431-160431.html