Vietcombank's Exchange Rate Hits Record Peak

The exchange rate at Vietcombank was maintained at a historic high of VND26,450, a peak first reached on Tuesday afternoon. Meanwhile, on the black market, the US dollar saw a slight increase of 0.03%, trading at around VND26,505.

State Bank of Vietnam Adjusts Reference Rate

In response to these developments, the State Bank of Vietnam adjusted its reference rate upwards by 0.02% to VND25,247.

Global Dollar Weakens Amid Inflation Concerns

Globally, the dollar experienced a downturn on Wednesday following a subdued U.S. inflation report, which has fueled expectations of a Federal Reserve rate cut next month. This, coupled with President Donald Trump's efforts to consolidate his influence over U.S. institutions, has contributed to the currency's decline, as reported by Reuters.

Against the yen, the dollar was marginally lower by 0.05% at 147.76, while the euro remained stable at $1.1676 after a 0.5% increase in the previous session. Sterling also saw a modest gain of 0.03%, reaching $1.3504.

The dollar index was last recorded at 98.08, following a 0.5% drop on Tuesday.

Expert Insights on Future Rate Cuts

"The July CPI report indicated minimal evidence of tariff impacts on consumer prices... However, a September rate cut is not a certainty, contrary to current market predictions," commented Carol Kong, a currency strategist at Commonwealth Bank of Australia.

"Given the volatility shown in recent payroll reports, a single data point can significantly sway policy discussions. Therefore, it's prudent to await further data before concluding on a rate cut or maintaining the status quo," Kong added.