USD exchange rate today, November 7, 2024: The US dollar strengthens sharply after the US presidential election.

Today's USD exchange rate worldwide

In the US market, the US Dollar Index (DXY), which reflects the change in the value of the USD against six major currencies (EUR, JPY, GBP, CAD, SEK, CHF), rose 1.72% to 105.15.

The US dollar surged to its highest level in four months after US presidential candidate Donald Trump declared victory. Trump's policies on immigration, tariffs, and trade are expected to boost economic growth in the US.

If the Republican Party wins a landslide victory, they will be able to implement significant legislative changes, which could have a major impact on currency markets. Trump's policies, such as restricting illegal immigration, raising tariffs, and lowering taxes, could help the US economy grow while making it more difficult for the Federal Reserve to cut interest rates.

Market expert Nikos Tzabouras at Tradu trading platform commented: "This could push inflation higher, forcing the Fed to slow down its monetary easing, which would benefit the USD."

Countries such as those in the eurozone, Mexico, China, and Canada may face the risk of new tariffs from the US, which could impact their economic growth. Interest rate differentials between the US and these countries could weaken their currencies.

The euro could also face difficulties due to political instability in Germany. German Chancellor Olaf Scholz dismissed Finance Minister Christian Lindner on November 6th, following a prolonged dispute over the government's economic policy.

The DXY index briefly rose to 105.44, its highest level since July 3rd. The EUR fell 1.78%, to $1.0735, and at one point dropped to its lowest level since June 27th at $1.0683.

At the same time, the US dollar rose 1.92% to 154.5 Japanese yen, at one point reaching 154.7, its highest level since July 30.

The Fed is expected to cut interest rates by 25 basis points at its two-day meeting on November 7th. Investors are also paying attention to the possibility that the Fed will pause rate cuts in December.

Although a strong September jobs report dampened investor expectations for further Fed interest rate cuts, the weaker-than-expected October economic data cast doubt on this trend. However, the October data may have been affected by recent storms and strikes.

According to CME Group's Fed tracking tool, there is now a 71% chance that the Fed will cut interest rates in December, down from 77% the day before.

In addition, the Bank of England is expected to cut interest rates by 25 basis points at its policy meeting today, November 7th, while the Swedish central bank (Riksbank) may cut rates by 50 basis points.

Today's domestic USD exchange rate

On the domestic market, at the beginning of trading on November 7th, the State Bank of Vietnam announced that the central exchange rate of the Vietnamese Dong against the US Dollar decreased by 5 dong, currently standing at 24,248 dong.

* The reference exchange rate at the State Bank of Vietnam's exchange floor remains unchanged, currently at: 23,400 VND - 25,450 VND.

The USD exchange rates at commercial banks for buying and selling are as follows:

* The EUR exchange rate at the State Bank of Vietnam's exchange desk saw a slight decrease in buying and selling rates, currently at: 24,981 VND – 27,610 VND.

The EUR exchange rates at commercial banks for buying and selling are as follows:

* The Japanese Yen exchange rate at the State Bank of Vietnam's exchange desk saw a slight decrease in buying and selling rates, currently standing at 151 VND – 166 VND.