Expectations of interest rate hike by the United States Federal Reserves is the hot topic right now.
U.S. Treasury yields jumped on Wednesday, with benchmark yields hitting their highest levels since December.
This is a result of a strong gain in U.S. private-sector jobs in February… and the ADP Employment Change report yesterday, which saw an overwhelmingly better than expected result.
With actual figures increasing to 298K from expectation that it would decrease from 261K to 190K. These have sealed expectations that the Federal Reserve will raise interest rates this month.
Gold prices caught the buzz of this expected interest rate hike hitting a five-week low on Wednesday as the dollar gathered strengthened. Within our Fijian economy, USD strengthened against our Fijian dollar by 19 basis points to 0.4679. Giving us a weaker AUD and NZD today when compared to yesterday.
NZD is the weakest it has ever been since July last year.