Dollar strengthens against dong

By Minh Hieu May 9, 2024 | 10:10 pm PT

U.S. one dollar bills are curled and inspected during production at the Bureau of Engraving and Printing in Washington Nov. 14, 2014. Photo by Reuters

The U.S. dollar increased against the Vietnamese dong on Friday morning.

Vietcombank sold the dollar at VND25,484, up 0.02% from Thursday.

The State Bank of Vietnam (SBV) kept its reference rate steady at VND24,245.

The dollar rose 0.08% to VND25,750 on the black market.

It has increased against the dong by 4.36% since the beginning of the year.

Globally, the U.S. dollar had a soft tone in early Asian trading on Friday after losing ground overnight to the euro and sterling on the back of U.S. data showing further signs of a cooling labor market and hence higher odds of Fed rate cuts this year, Reuters reported.

Against the Japanese yen, the dollar was trading at 155.39 yen, down from highs of 155.95 hit in the previous session.

The euro stood at $1.0782 , after a 0.3% gain overnight.

The dollar index, which measures the greenback against a basket of currencies including the yen and the euro, was flat at 105.25.

"We note jobless claims are weekly data that can be very volatile from week to week," Commonwealth Bank of Australia's Joseph Capurso, said in a note. "It is far too early to conclude the labour market is weakening significantly."

Traders will be closely watching April U.S. producer price index (PPI) and the consumer price index (CPI) out next week for signs that inflation has resumed its downward trend towards the Fed's 2% target rate.