[Vnbiz] USD continues to go up, Gold down

[Vu The Binh]

Dear a. Hoanh,

It's a kind of a "fever" here, about the USD.

I don't know if the increase of USD price follows the intension of the 
State or it's out of control due to some "playings" in the market while 
stock market is getting drown. Any clue that it's affected by the policy 
of the government for supporting export?

Something strange and dangerous running behind was the feeling, anyone 
has more information than just what is showing in the press publicity?

Best, Binh.

Tran Dinh Hoanh wrote:
> [ Vietnam Business Forum ]
> 
> 
> 
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> 
> Dear CACC,
>  
> USD continues to go up (close to 18,000 VND) and gold continues to go 
> down.  This is good for VN export. 
>  
> It is interesting to see that the official exchange rate among the 
> commercial banks is now about 10% lower than the free market rate 
> outside the banks.  I am not yet sure about SBV's logic for this.  Maybe 
> SBV has some good reason to do that.  I imagine if you are exporter, you 
> receive payment in USD from your foreign customer, you would want to 
> sell your USD in the free market to get the higher VND amount.  But if 
> you are an importer, you would want to bring your VND to a commercial 
> bank (and go through a bit of paperwork hassle) to buy USD to have 
> the highest amount of USD you can get.  Very soon, the commercial banks 
> will be in USD shortage because they only sell USD but couldn't buy USD 
> in the free market.  Then SBV will have to sell USD to commercial banks 
> and withdraw VND back, to reduce the VND circulation to reduce inflation 
> pressure?
>  
> Have a great day!
> Hoanh
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