Market Highlight 22.04.2025

The USD fell sharply on Monday, dropping by 1,09% to 98,3 - its lowest level in 3 years - as market confidence in the U.S economy continued to erode following escalating tensions between President Donald Trump and Federal Reserve Chairman Jerome Powell, raising concerns over the independence of the U.S central bank. President Trump has repeatedly criticized Powell, urging an immediate rate cut to support the economy and even considering the possibility of dismissing the FED Chair before his term ends in May 2026. U.S equity markets tumbled more than 2,5% on the first trading day after the holiday break.

According to the latest statistics released by the General Department of Customs (Ministry of Finance), Vietnam’s export turnover reached USD 16,75 billion in the first 15 days of April 2025, down 18,3% compared to the latter half of March 2025, while imports totaled USD 18,69 billion, marking a 2,4% decline. Cumulatively, from the beginning of the year through April 15, total exports stood at USD 119,62 billion, up 10,5% year-on-year, while imports reached USD 118,35 billion, up 16,68% year-on-year. Overall, the country’s total import-export turnover reached USD 237,97 billion, a 13,5% increase compared to the same period last year, with a trade surplus of USD 1,27 billion. However, Vietnam’s export activities are forecast to face significant challenges ahead, due to the impact of newly imposed tariffs from the United States - a key export market for many sectors. Enterprises are urged to leverage existing advantages, including 17 Free Trade Agreements (FTAs) with over 60 countries and territories, and more than 70 bilateral cooperation frameworks, to diversify export markets, overcome difficulties, and achieve the 12% export growth target set for this year.

The USD/VND interbank exchange rate declined by approximately 70 VND on Monday, closing the afternoon session at 25.880, driven by the sharp fall in the USD globally. In the coming sessions, pressure from local currency hoarding ahead of the upcoming long public holiday is expected to be the dominant factor, keeping the exchange rate stable around the 25.900 level.

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