Foreign exchange prices on February 10, 2025: Will USD continue to increase strongly?

DNVN - The central exchange rate of Vietnamese Dong to USD on February 10, 2025 is currently maintained at 24,462 VND.

USD exchange rate on the world market

Foreign exchange prices on February 8, 2025: USD reversed to increase, after the announcement of US employment data

The Dollar Index (DXY), which measures the strength of the USD against six major currencies (EUR, JPY, GBP, CAD, SEK, CHF), remained unchanged at 108.04 as of February 9, 2025.

Entering January, the DXY index recorded 109.4 and continued to rise, reaching 110 on January 13 - marking its highest level in more than two years.

The main reason comes from the steady growth of the US economy, when the manufacturing sector expanded for the first time in two years with the PMI index reaching 50.9 points in January. At the same time, the labor market also made progress when employment accelerated in December, the unemployment rate fell to 4.1% and GDP growth in 2024 reached 2.8% thanks to consumer spending.

However, the dollar began to weaken after President Trump took office and announced that he would not impose tariffs on his first day in office, reflecting the US strategy of using tariffs as a negotiating tool to reach trade agreements. This caused the DXY index to fall to 108 on January 21.

Although inflation has cooled significantly from its 40-year peak in mid-2022, it remains a major challenge for the Fed in its interest rate adjustment plan. In December 2024, inflationary pressures continued as the PCE index recorded an increase of 2.6%, higher than the Fed's 2% target.

Concerned about economic risks from the new administration's policies and persistent inflation, the Fed decided to pause its rate-cutting cycle at its January meeting after three adjustments in 2024. As a result, the DXY index recovered slightly, reaching 108.4 at the end of January.

However, the steady trend was quickly broken when the Trump administration announced tariffs on goods from Mexico, Canada and China in early February, pushing the USD price up again.

Analysts say the euro and many Asian currencies could continue to weaken due to the impact of the strength of the US dollar. The Fed is expected to cut interest rates 1-2 times this year, with adjustments of about 25-50 basis points. Meanwhile, the ECB, BoE and RBA could cut interest rates by 75-100 basis points.

The widening interest rate differential will underpin the USD rally in the first half of 2025. UOB forecasts that the euro could come under further pressure from the threat of US tariffs, weakening it alongside the pound and the Australian dollar.

Similarly, Asian currencies are also at risk of depreciation. The USD/CNY exchange rate is forecast to rise to 7.65 yuan per dollar in the third quarter, from the current 7.29. The Singapore dollar, Thai baht and Indonesian rupiah could see their steepest declines between July and September.

Domestic USD exchange rate

In the morning trading session on February 10, the State Bank announced the central exchange rate of the Vietnamese Dong against the USD remained unchanged at 24,462 VND.

The reference exchange rate at the State Bank's Transaction Office is currently maintained at 23,400 VND - 25,450 VND for both buying and selling.

At Vietcombank, the USD exchange rate continued to be stable at 25,080 - 25,470 VND/USD compared to the previous session.

TPB Bank is currently listing the lowest USD cash purchase rate: 24,390 VND/USD.

At TPB, the lowest USD transfer buying price is currently 24,430 VND/USD.

LPBank and OceanBank are listing the highest USD cash buying rate, reaching 25,222 VND/USD.

VietinBank leads in USD transfer buying rate at 25,549 VND/USD.

TPB has the lowest USD cash selling price on the market, at 24,870 VND/USD.

HSBC is applying the lowest USD transfer selling rate, at 25,429 VND/USD.

Saigonbank currently has the highest USD cash selling rate, listed at 25,685 VND/USD.

MB Bank is holding the highest USD transfer selling rate, with an exchange rate of 25,620 VND/USD.

The EUR exchange rate at the State Bank of Vietnam increased slightly, to 24,077 VND - 26,611 VND.

The Japanese yen exchange rate at the State Bank of Vietnam also increased, currently trading at 148 VND - 164 VND.