Dollar bounces back against dong

By Dat Nguyen August 21, 2023 | 08:18 pm PT

An employee of the Korea Exchange Bank counts one hundred U.S. dollar notes during a photo opportunity at the bank's headquarters in Seoul April 28, 2010. Photo by Reuters/Jo Yong-Hak

The U.S. dollar rose against the Vietnamese dong Tuesday morning after declining for nearly a week.

Vietcombank sold the dollar at VND23,995, up 0.10% from Monday.

The State Bank of Vietnam kept its reference rate stable at VND23,886.

The dollar was sold at VND24,140 on the black market, unchanged from Monday.

It has increased against the dong by 1.12% since the beginning of the year.

Globally the U.S. dollar held close to a 10-week peak versus a basket of major peers, and near its highest since November against the yen, as Treasury yields rose made fresh post-financial crisis highs on Tuesday amid speculation U.S. rates will be stay high for longer, Reuters reported.

The U.S. dollar index - which measures the currency against six developed-market counterparts, including the yen and euro - slipped 0.1 to 103.24, but remained not far from Friday’s high of 103.68, a level not seen since June 12.

"Surging long-term U.S. yields and the underwhelming response by China’s policymakers to ongoing stresses in China’s property and financial markets continue to provide bullish impulse to" the U.S. dollar, Richard Franulovich, a currency strategist at Westpac, wrote in a note.