Vietnam & World Forex Market News

Vietnam and World Currency Market News

Dong weakens after trading band widened 2009-03-24 - Reuters

Vietnam's currency, the dong , weakened on Tuesday after the central bank widened its trading band to 5% on either side of a fixed daily midpoint from 3%, giving the currency room to depreciate. On the unofficial market, the dong was quoted at 17,700/18,000 per dollar on Tuesday morning, versus 17,650/17,680 on Monday.

When trade started on the interbank market, the dong held ground and was quoted at 17,450/17,550 to the dollar at 0139 GMT, but by 0148 it was off about 4% at 17,600/17,700. The move was announced on Monday and took effect on Tuesday.

A private dollar dealer in Hanoi said he expects the currency to pull back.

"18,000 dong to a dollar is unlikely to be sustainable because of the trade surplus people think there are much more dollars in the market now," he said.

The midpoint on Tuesday, set by the central bank, was 16,980 dong per dollar.

Other news

Vietnam expands Dong trading band to support exports 2009-03-24

Dollar hits VND18,000/US$1 on wider trading band 2009-03-24

US$ government bonds: “interest rate of 4%... successful” 2009-03-19

Exchange rate cannot please everyone 2009-03-18

Gold price drops, forex rate at 17,700 dong/US dollar 2009-03-17

US$ interest rates on the wane 2009-03-10

Dollar deposits at Vietnam banks rise 1.13% om Jan - Feb 2009-03-09

USD deposit interest rates plunge as supply exceeds demand 2009-03-07

Gold price slips to 19.24 mln dong/oz, US dollar up to 17,730 dong 2009-03-05

Gold prices sliding, greenback price bouncing 2009-03-04

Central bank sets USD/VND exchange rate at 16,973 on Feb 25 2009-02-26