Dollar rises, gold price falls in local market
Dollar rises, gold price falls in local market
Local commercial banks listed their dollar rates on May 25, just VND20 lower than the ceiling price set by the State Bank of Viet Nam (SBV).
On Monday, local commercial banks listed the US dollar at VND20 to VND30 higher than last week's rate. The highest rate was seen at ACB, DongABank and Eximbank, which sold the dollar for VND21,870 and bought it for VND21,790 respectively.
Vietcombank's buying and selling rates for each dollar were VND21,805 and VND21,865, respectively, while at Vietinbank, they were VND 21,795 and VND21,860, respectively.
Rates also rose to similar levels in the street markets. Most money exchangers on Ha Trung Street, one of the most popular spots for currency exchange in Ha Noi, bought dollars for VND21,850 and sold them for VND21,870.
As of May 7, the SBV had increased the inter-bank exchange rate from VND21,458 to VND 21,673 per US dollar. With an effective one per cent margin, the ceiling rate was VND21,890 per dollar.
The central bank announced that it would lift the dollar/dong rate to a maximum two per cent in 2015. Thus, in the first five months of this year, the central bank raised the dollar/dong rate to the highest it has so far committed to.
Reuters.com said the dollar marched to a two-month high versus the yen on Monday and carved out fresh ground against other major currencies, after stronger-than-expected underlying American inflation supported the Federal Reserve's case for a rate hike later this year.
At the same time, the gold price sunk to its lowest since 2010 in the local market. On Monday, one tael of the State-owned brand SJC was listed at VND34.97 million ($1,598) in the Saigon Jewellery Company.
On the global trading floor Kitco.com, the gold price closed at $1.203 per ounce, or $1,449 per tael.
Thus, each tael of gold in Viet Nam was $149 higher than the world price.
