Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Bloomberg Customers

Vietnam Bond Yield Falls to 3-Week Low as Banks Buy; Dong Drops

Vietnam’s bonds rose, sending the benchmark five-year yield to a three-week low, on speculation banks are investing spare cash in debt as an economic slowdown saps demand for loans. The dong weakened.

Loans at Vietnamese banks grew 2.77 percent this year through Oct. 19, trailing a 14.2 percent increase in deposits, the government said in a statement on its website yesterday. Credit growth has fallen short of policy makers’ expectations as the economy slowed, according to the statement. Prime Minister Nguyen Tan Dung signaled last week the nation will struggle to meet a goal of 5.2 percent expansion this year.

The yield on the benchmark five-year notes fell two basis points, or 0.02 percentage point, to 10.19 percent in Hanoi, the lowest level since Oct. 5, according to a daily fixing from banks compiled by Bloomberg.

“Some banks have surplus funds and chose to invest in bonds given the current market conditions,” said Nguyen Thi Ngoc Anh, head of fixed-income trading at Asia Commercial Bank in Ho Chi Minh City.

The dong weakened 0.1 percent to 20,850 per dollar as of 4 p.m. in Hanoi, according to data compiled by Bloomberg. The central bank set its reference rate at 20,828, unchanged since Dec. 26, according to its website. The currency is allowed to trade as much as 1 percent on either side of the fixing.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.