Forex
Aussie Hits 12-Week Highs on Rate Hike Bets, Bond Yields Soar
The Australian dollar held steady near 12-week highs on Thursday, following strong inflation and spending data that's fueling bets of an imminent rate hike.
According to Reuters, the Aussie AUD=D3 rose 0.2% to $0.7184, having hit a 12-week top of $0.7189 overnight before paring gains.
The Reserve Bank of Australia (RBA) has been monitoring inflation closely, and policymakers have warned of even higher rates if inflation risks materialize.
Market experts are divided on the timing of a rate hike, but economists at Citi and the National Australia Bank both forecast a rate increase in September.