Let’s see the latest developments in the market:
New Zealand’s unemployment rate fell to a nine-year low of 4.4 percent in the first quarter. Adding to signs that sluggish wage growth will eventually pick up.
Meanwhile, Australia left its key interest rate unchanged at a record low yesterday amid the slowing of a hiring boom. Their cash rate has remained at 1.50% since late 2016 as their central bank waits for inflation to pick up.
But…..the traders are eagerly anticipating for tomorrow morning when the US Federal Reserve announces its monetary policy statement and their interest rate decision. Even though Fed officials are not scheduled to release a new interest rate forecast, it could upgrade its view of both the economy and inflation in its post-meeting statement.
This is perhaps a market-moving news and we’ll wait to see how it affects our Fiji dollar and other trade partner currencies tomorrow.