Economic activity in the U.S continued to accelerate in December as businesses in the services sector expressed greater optimism about the economic outlook for 2025. The S&P Global Composite PMI - which measures activity across the manufacturing and services sectors - rose to 56,6 in December from 54,9 in November, marking its highest level in nearly 3 years and extending gains from the previous month following Donald Trump’s victory in the presidential election. The December increase was driven by the strength of the services sector, which hit its highest level in 38 months, reflecting improved business sentiment for the next 6 months. In contrast, U.S manufacturing activity fell to a three-month low, with business optimism declining as some manufacturers expressed concerns about the potential impact of new tariffs on imported goods under the incoming administration. The USD Index edged down by 0,14% yesterday as markets anticipated the Federal Reserve would cut interest rates by 0,25% on Thursday, though the pace of policy easing for 2025 remains highly uncertain.
European Central Bank (ECB) President Christine Lagarde stated yesterday that further interest rate cuts would be necessary as the threat of U.S tariffs continues to overshadow the region’s already weak growth outlook. Previously, ECB policymakers implemented a third consecutive rate cut at last week’s meeting.
The USD/VND exchange rate remained stable around 25.400 yesterday amid cautious sentiment ahead of the FED’s crucial policy decision on Thursday. The market is expected to continue trading sideways in the 25.350 - 25.400 range today, while the free market is currently trading at 25.600 - 25.650.
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Directly contact us to receive market news and consultancy on foreign exchange products and derivatives:
- Financial Markets Division – Email: ktttc@acb.com.vn ; or
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