# EXCLUSIVE Vietnam may widen dong trading band again to conserve FX reserves - source | Reuters

> Reuters reports, citing a source, that Vietnam is preparing to loosen its tight control of the dong and may widen its trading band again. The dong is a managed peg to the dollar and has fallen 8% this year amid capital outflows as the Federal Reserve keeps raising rates.

- Date: 2022-10-26 · published 2022-10-26T12:00:00.000Z
- Category: macro · region Vietnam · magnitude low
- Page: https://feedsoft.ai/events/39448-exclusive-vietnam-may-widen-dong-trading-band-again-to-conserve-fx-reserves
- Commodities: [Vietnamese Dong (VND per USD)](https://feedsoft.ai/c/USDVND.md)

## Why it matters

A wider band lets the dong weaken further against the dollar, which raises Vietnam's cost of dollar-priced feed imports and could reduce its buying appetite for corn and soymeal.

## Read by commodity

- USDVND: bullish ▲

## Sources

- reuters.com: https://www.reuters.com/markets/asia/exclusive-vietnam-may-widen-dong-trading-band-again-conserve-fx-reserves-source-2022-10-26/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.