Aussie soars, kiwi slumps ahead of Fed meeting
On Tuesday, the Australian dollar surged against its American counterpart, while the New Zealand dollar sagged because markets were jittery ahead of the Fed’s policy gathering due later this day.
The currency pair AUD/USD grew 0.11%, trading at 0.7396.
Financial markets seem to have pushed back hopes for the timing of the next rate lift by the US major bank after a downbeat US employment report for May, showing the slowest tempo of jobs growth since September 2010.
In the previous week’s speech, Janet Yellen, Fed Chair indicated that interest rates aren’t going to go up until uncertainty regarding the economic outlook gets resolved.
A bit Earlier this day, the National Australia Bank pointed out that in May, the business confidence index went down to 3, from last month’s reading of 5.
The currency pair NZD/USD edged down by 0.42%, being worth 0.7032, the lowest value since June 9.
Additionally, market sentiment was still under pressure following gloomy data from China as well as uncertainty regarding the approaching Brexit referendum.