Exchange rate exceeds peak, gold price continues to decrease

ANTD.VN - The USD in the world has not stopped increasing, causing the domestic exchange rate to heat up every day. Meanwhile, the precious metal market continues to decline.

In today's trading session (November 14), the central exchange rate was adjusted by the State Bank of Vietnam (SBV) to increase by 2 VND (after a strong increase of 21 VND yesterday), to 24,290 VND/USD. This is the third consecutive increase, and also the highest central exchange rate in history since this mechanism was applied by the SBV in early 2016.

With a margin of 5%, the current maximum USD exchange rate that commercial banks are allowed to trade is 25,504 VND/USD.

According to the survey, most commercial banks are currently listing the selling price of USD at the ceiling rate as prescribed, which is 25,504 VND/USD. Thus, after a period of calm in August and September, the exchange rate pressure is returning. Since the beginning of the year, the USD price at banks has increased by about 1,100 VND, equivalent to an increase of 4.4%.

Exchange rate pressure heats up every day after US election

The domestic USD exchange rate increased in the context of the USD continuing to strengthen. The USD Index (DXY), a measure of the strength of the greenback compared to other major currencies, continued to rise to a new high of over 106.6 points this morning Vietnam time - the highest level in the past 6 months.

The US dollar maintained a continuous upward trend against major currencies after Donald Trump won a landslide victory in the US presidential election and the Republican Party won the majority in the Senate and House of Representatives.

Mr. Trump's policies on restricting illegal immigration and issuing new tariffs are believed to boost growth and inflation, reducing the Fed's ability to cut interest rates and increasing the strength of the USD.

In addition to pressure from the international market, the USD/VND exchange rate is also under pressure due to the increasing demand for foreign currency due to seasonal factors. In addition, the demand for foreign currency from the State Treasury is also one of the factors causing the exchange rate to increase rapidly in recent times.

In the context of increasing exchange rate pressure from many sides, the State Bank is deploying both tools of issuing credit notes and selling foreign currency to "rein in" the exchange rate.

At a recent question-and-answer session before the National Assembly, State Bank Governor Nguyen Thi Hong admitted that the international currency market is complicated. The USD fluctuates complicatedly, sometimes falling sharply, then increasing from the third quarter and currently fluctuating at a high level.

According to the State Bank's leaders, stabilizing exchange rates and foreign exchange is difficult because it depends on real supply and demand in the market, that is, the amount of foreign currency spent on the economy and the revenue earned.

In addition, the foreign exchange market is still dollarized, so it is affected by the psychological impact of great expectations. That is, organizations and businesses that have foreign currency do not sell it, but buy it when they do not need it, so this is a challenge for management.

However, the Governor of the State Bank affirmed that the management agency will firmly adhere to the goal of flexible exchange rate and foreign exchange management, in accordance with market developments. "When the market fluctuates too much, the State Bank will consider selling foreign currency to stabilize and meet people's needs," said Ms. Nguyen Thi Hong.

In other developments, domestic and world gold prices continued to fall under pressure from the USD and Bitcoin.

This morning, Vietnam time, the world gold price has retreated to the area of ​​nearly 2,560 USD/ounce, equivalent to a decrease of more than 50 USD in the session.

Domestically, SJC gold decreased by another 500 thousand VND per tael, to 80.00 - 83.50 million VND/tael (buy - sell).

Similarly, gold rings also decreased by around 500 thousand VND per tael. Accordingly, SJC's 999.9 rings are now 79.00 - 81.80 million VND/tael. Plain round rings of other businesses are around 80.50 - 82.70 million VND/tael (buy - sell).

Source: https://www.anninhthudo.vn/ty-gia-vuot-dinh-gia-vang-tiep-tuc-giam-post595445.antd