The State Bank last week stepped in to calm a fluctuating foreign exchange market by reducing the selling price of USD on the interbank market. At the beginning of last week, the exchange rate applied by commercial banks suddenly increased, with Vietcombank’s USD selling price increasing from VND20,970 on March 1 to VND21,020 on March 5, 2013. The exchange rate on the unofficial market was VND21,190... 

The forex market saw busy trading as the informal exchange rate on Wednesday rose to VND21,160 for buying and VND21,190 for selling, up VND10-30 against last week. Meanwhile, in the official market, the greenback was quoted at VND20,855 for buying and VND20,860 for selling during the morning. The rate cooled down in the afternoon and stood at VND20,843-20,847 at the end of the day, lower than VND20,960... 

The U.S. dollar firmed against Vietnam dong at local banks and on the informal market on Tuesday, selling for over VND21,000 to hit a two-week high. At some foreign currency exchange counters near Ben Thanh Market, the greenback rose to VND21,150 and VND21,170 for buying and VND21,210 to VND21,230 for selling. A forex trader noticed that the price had surged some VND50-70 a dollar against late last... 

Vietnam’s five-year bonds gained by the most since May after the central bank reduced interest rates for THE sixth time this year to spur economic growth. The dong was little changed. The State Bank of Vietnam cut its refinancing rate to 9 percent from 10 percent with effect from Dec. 24, according to a statement on its website on Dec. 21. It lowered the discount rate to 7 percent from 8 percent.... 

Vietnam’s two-year bonds rose for a second day, pushing the yield down by the most since July, on speculation banks are investing spare funds in debt as lending slows. The dong strengthened. Vietnamese lenders have surplus cash now, Do Thi Nhung, deputy head of the central bank’s monetary policy department, told a conference in Hanoi on Nov. 5. Loans at domestic banks have grown 3.3 percent this... 

The demand for foreign currency loans for the year-end shopping season among enterprises has not risen much although the first month of the final quarter has passed. The inter-bank exchange rate has been stable at VND20,828 per dollar since the year’s beginning. Prices of the greenback quoted at banks have increased slightly but have not reached the ceiling of VND21,036. The foreign exchange market... 

Businesses have demanded more loans in foreign currencies to prepare for the year-end production season. Meanwhile, banks have reported the sharp falls in the capital mobilized. In principle, businesses would prefer borrowing capital in foreign currencies to Vietnam dong in order to enjoy the lower interest rates, if the dong/dollar exchange rate is stabilized. It’s now the right time for businesses... 

Vietnam’s one-year bonds fell after inflation accelerated more than economists forecast, limiting the scope for policy makers to reduce interest rates. The dong was little changed. Consumer prices rose 7 percent in October from a year earlier, the most since May, according to data released by the General Statistics Office in Hanoi today. The median of four estimates in a Bloomberg News survey was... 

Banks are becoming net purchasers of  foreign currencies, creating a good base for the forex market despite exporters’ increased demand for foreign currencies at the year-end. Based on State Bank data, in the final week of September and the first week of October, the exchange rate moved slightly upward as credit institutions actively bought foreign currencies to meet customers’ demand. At the... 

The State Bank of Vietnam (SBV) continued on Tuesday pumping nearly VND2.4 trillion into the banking system via open market operations (OMO) after a VND3.5 trillion injection via a tender on Monday, according to local banks. The central bank maintained the interest rate at 8% per annum for the seven-day tenor on the open market. However, SBV from now to the end of this week has to withdraw over VND23...