Recent forecasts for the USD to VND exchange rate reflect a complex interplay of factors affecting both currencies. Analysts suggest that the US dollar's decline can be attributed to a growing risk appetite in the markets, driven by easing US trade tensions, robust earnings from technology firms, and a recent interest rate cut from the Federal Reserve. Despite this downturn, uncertainty regarding the pace of future rate cuts could restrict the dollar’s potential depreciation.
On the Vietnamese đồng side, the currency has already experienced notable depreciation against major currencies. Reports indicate that the VND could depreciate by approximately 3% against the USD by 2025, as forecasted by experts from Vietcombank Securities. This projection is influenced by the strong performance of the USD amidst global economic trends and the pressures from US tariffs that affect Vietnamese exports.
Moreover, the Federal Reserve's rate cut offers Vietnam some room to stabilize its economy and currency in light of the competitive pressures. Recent data shows that the USD to VND exchange is trading at 14-day highs near 26,348, sitting close to its three-month average. Notably, it has remained within a stable range of 1.0% from 26,176 to 26,434.
Overall, the outlook suggests that while the USD may face downward pressure due to domestic factors in the US, the VND is also poised for challenges, influenced by global economic shifts and trade dynamics with the US. Readers may want to watch these developments closely for potential impacts on currency exchange rates and international transactions.
