USD exchange rate today August 26, 2024: USD continues to fall sharply

World USD exchange rate today

The USD Index (DXY), which measures the greenback's performance against a basket of six major currencies, stood at 100.68.

Investors are awaiting an announcement from the US Federal Reserve (Fed) about cutting interest rates in September, which could increase the amount of money in circulation, boost investment and affect the US dollar exchange rate as well as gold prices.

The value of the US dollar fell sharply after the Fed's announcement. The USD Index, which measures the dollar against six major currencies, fell nearly 1% to 100.64 points, and the yield on 10-year US Treasury bonds also fell to its lowest level in more than two weeks.

The Dollar Index, which measures the greenback against a basket of six major currencies, ended at 101.04, down from 101.44 in the previous session. The yield on 10-year U.S. Treasury notes fell more than 2 percentage points to 3.797%.

The DXY index could continue to fall to the 2024 low of 100.66, followed by the December 2023 low of 100.61 and finally the psychological test of 100.

Forecast of USD trend this week

Despite the Federal Reserve's plans to cut interest rates in 2024 and 2025, the US dollar (USD) is expected to remain strong. The interest rate differential between the US and other countries has helped the USD strengthen in recent years.

Since March 2022, when the Fed raised interest rates, the USD has been at an all-time high. Although the Fed is about to cut interest rates, it is not certain that the USD will fall in value. Other major central banks, such as the European Central Bank, are also planning to cut interest rates, which could keep the USD stable.

The interest rate differential between the US and other developed economies is likely to persist, supporting the USD. The global economy and challenges in the Eurozone also weigh on the USD outlook.

While the US economy may be slowing, it could still be stronger than other countries. The Fed is cautious about cutting interest rates, which could help prevent a major fall in the value of the dollar.

The DXY index, which measures the value of the dollar against a basket of other currencies, remains above its historical average. Analysts predict the dollar may weaken only slightly, even if the Fed cuts interest rates.

Domestic USD exchange rate today

On August 26, the central exchange rate between Vietnamese Dong and USD announced by the State Bank was 24,250 VND/USD.

The buying and selling rates at the State Bank of Vietnam remain unchanged, still at 23,400 VND for buying and 25,450 VND for selling.

In the free market, the USD exchange rate decreased slightly this morning, with the buying price being 25,225 VND and the selling price being 25,285 VND, down 4 VND compared to August 24.

Vietcombank listed the USD buying and selling exchange rate unchanged, at 24,780 - 25,150 VND/USD.

BIDV listed the USD buying and selling rates unchanged, at 24,843 - 25,183 VND/USD.

Vietinbank listed the USD buying and selling exchange rate unchanged, at 24,680 - 25,130 VND/USD.

Eximbank listed the USD buying and selling rate unchanged, at 24,790 - 25,150 VND/USD.