SBV back to liquidity withdrawal as interbank demand cools

This week, the SBV resumed liquidity withdrawal at a significant level, as demand in the interbank market dropped sharply amid easing liquidity conditions, while USDVND continued its upward trend. The interbank curve steepened further, with notable declines in actively traded short-term tenors, accompanied by lower trading volume—signaling reduced funding demand. Domestically, USDVND continued to rise amid ongoing trade negotiations, as the U.S. maintained a firm stance on the origin of Vietnam’s export goods. On the global front, the greenback weakened slightly as trade tensions resurfaced and U.S. labor data beat expectations. As the expiration of the current tariff delay approaches, the outcome of upcoming negotiations will likely play a pivotal role in shaping the global economic outlook.