On April 24, the State Bank listed the central exchange rate at 24,274 VND/USD, a slight decrease of 1 VND compared to yesterday’s session (April 23).
At 10:30 a.m. on April 24, the exchange rate at commercial banks also recorded a slight decrease of 1 VND compared to the previous session in both directions and was still anchored at the ceiling level according to regulations of the State Bank of 24,487 VND/USD.
According to the Financial Market Division, ACB, yesterday was the second consecutive day that the State Bank sold USD to interbank members with a supply volume of about 220 million USD, at a price of 25,450 VND/USD. Thus, cumulatively after the first 2 days of the week (April 22 and 23), the operator has supplied the market with nearly 350 million USD.
Yesterday, on the mortgage channel, the operator offered a bid of 36,000 billion VND with a 14-day term, the interest rate increased to 4.25%. 35,999.99 billion VND won the bid, 11,999.93 billion VND matured. At the same time, the operator offered State Bank bills with a term of 28 days, bidding on interest rates. There were 2,150 billion VND of winning bills with the interest rate kept at 3.73%, and 3,700 billion VND of bills due yesterday. Thus, the State Bank injected a net VND 26,550.06 billion into the market in the April 23 session. The volume of treasury bills circulating in the market decreased to 61,250 billion VND, on the mortgage channel increased to 53,427.76 billion VND.
The USD on the world market weakened again on the evening of April 23 (Vietnam time) after PMI data was lower than expected. However, the market will especially monitor the important US economic report in the last 2 trading days of this week as well as the Fed meeting in the middle of next week because it can greatly affect the exchange rate trend after the holiday. A long day is coming.
According to VIRA, on April 23, the average interbank VND offered interest rate increased by 0.06 – 0.27 percentage points (dpt) for all terms of 1 month or less compared to the April 22 session. Specifically: overnight 4.22%; 1 week 4.36%; 2 weeks 4.42% and 1 month 4.64%. The average USD interbank offered interest rate increased by 0.02 ppt in most terms except for moving sideways in the 2-week term. USD interbank trading at: overnight 5.26%; 1 week 5.33%; 2 weeks 5.39%, 1 month 5.42%.
Government bond yields on the secondary market remained unchanged for the 3-year term while decreasing for the remaining terms; Closing session on April 23 at: 3 years 1.88%; 5 years 2.11%; 7 years 2.32%; 10 years 2.81%; 15 years 3.02%.
The market is closely watching economic developments in the US because it directly affects the USD/VND exchange rate.
Economic activity in the US is showing signs of slowing down in April with manufacturing and service sector PMI indexes both lower than forecast. This contrasts with positive signals from the European region thanks to the recovery from economic leaders France and Germany.
The US composite PMI, an overall measure of activity in the manufacturing and services sectors, fell to 50.9 points in April from 52.1 the previous month. In contrast, the European region’s composite PMI increased to 51.4 points from 50.3 points in March. This shows that the gap in the economic recovery process is gradually narrowing, making the choice The policies of the Fed and the European Central Bank (ECB) may differ in the near future.
The ECB leader said that if inflation continues to cool down, the agency will begin cutting interest rates in the European area from June, while this possibility from the Fed may have to be postponed to September at the earliest. now.
The common point of both the world’s leading economies at this time is that growth is mainly driven by the service sector while recovery in manufacturing activities has not yet taken place. Forecasts show that the European economy may grow +0.5% in the first quarter and +0.8% for the second quarter while this figure in the US is +2.3% and +1.5%.
