USD exchange rate today (July 4): USD increases in value

USD exchange rate today: Early morning of July 4, the State Bank announced the central exchange rate of the Vietnamese Dong to the USD increased, currently at 25,091 VND.

Meanwhile, in the US market, the US Dollar Index (DXY) measuring the greenback's fluctuations against six major currencies (EUR, JPY, GBP, CAD, SEK, CHF) increased by 0.36% to 97.12.

DXY Index volatility chart over the past 24 hours. Photo: Marketwatch

USD exchange rate today in the world

The dollar rose against major currencies, including the Japanese yen, euro and Swiss franc, on Thursday after data showed the US economy created more jobs than expected, signaling that the Federal Reserve could delay cutting interest rates.

The US Labor Department said nonfarm payrolls increased by 147,000 last month, after May's figure was revised up to 144,000 jobs, well above the 110,000 forecast by Economists polled by Reuters.

“The US economy is on track to weigh for the rest of the year, which is why equities have responded so strongly over the past three weeks,” said Joseph Trevisani, senior analyst at FX Street. "The dollar has fallen about 13% against the euro since February. Much of that weakness has been driven by expectations that the Fed will cut rates soon."

However, he said Thursday's economic report puts an end to that expectation.

Following the data, markets have reduced expectations that the US Federal Reserve will cut interest rates this year. The chances of a July cut have all but disappeared, while the probability of a September cut has fallen to around 75% from nearly 98% before the jobs report, according to LSEG data.

The Republican-controlled House of Representatives passed President Donald Trump's massive tax and spending cuts bill on the same day and sent it to the president for his signature. In an interview with Bloomberg, US Treasury Secretary Scott Bessent said he expected a series of trade deals to be signed before the July 9 deadline for ending a tariff moratorium known as “Liberation Day.”

The dollar rose after the jobs data. The dollar was headed for a second straight gain after nine straight sessions of declines, but was still down 0.1% for the week.

The dollar rose 0.95 percent to 145.03 against the yen. Bank of Japan (BoJ) Board member Hajime Takata said the BoJ should resume raising interest rates after pausing to assess the impact of US tariffs, expressing optimism that Japan is getting closer to its sustainable inflation target.

The euro fell 0.41% to $1.175350, marking the second straight day of declines for the common European currency.

The pound edged up 0.07% to $1.3645, after a sharp sell-off earlier in the session on fiscal concerns and uncertainty over the future of British Finance Minister Rachel Reeves.

US Treasury yields rose sharply after the jobs data, then eased back slightly. The 10-year yield rose 5.3 basis points to 4.346%, while the 2-year yield, which is more sensitive to interest rate expectations, jumped 9.7 basis points to 3.886%. For the week, the 10-year yield rose 6.3 basis points, while the 2-year yield rose nearly 14.6 basis points.

USD increases in value. Photo: cafef.vn

Domestic USD exchange rate today

In the domestic market, at the beginning of the trading session on July 4, the State Bank announced the central exchange rate of the Vietnamese Dong to the USD at 25,091 VND.

* The reference USD exchange rate at the State Bank's buying and selling exchange center increased, currently at: 23,887 VND - 26,295 VND.

USD exchange rates at commercial banks are as follows: