Dollar Slips Below 100 as Global Gold Prices Soar

The US dollar slipped below the 100-point threshold in the Dollar Index (DXY) on Monday, August 3, while global gold prices rose sharply. The State Bank of Vietnam set the daily reference exchange rate at VND25,358 per USD, up VND20 from the previous session.

At commercial banks, the dollar was quoted at around VND26,080-26,490, with selling prices down by about VND10-30 from the peak recorded last week. On the informal market, the dollar traded around VND26,260-26,280, about VND120-140 lower than at the beginning of last week.

The weaker greenback has become a significant factor supporting gold prices, as the precious metal typically benefits when the US currency declines. Spot gold briefly rose by about $30 per ounce to around $4,072 per ounce, driven by a weaker US dollar and increased demand for safe-haven assets amid continued uncertainty in global markets.

The rally in the precious metal was also influenced by U.S. monetary policy, with the Federal Reserve maintaining its policy rate range at 3.5-3.75% this year. Markets are focusing on the possibility of policy changes at upcoming Fed meetings, which could provide additional support for gold if monetary policy becomes more accommodative.