Fundamental Gains that Never Showed up
Global markets received a sudden shock last Thursday. Speculations about the next Federal Reserve (Fed) rate hike returned and spread rapidly like a haunting specter. The info spread from the announcement of the Fed's meeting notes, which is obligatory for transparency purposes. It revealed that in last April's meeting, the Fed's Open Market Committee discussed the possibility of a June rate hike should US economic data and labor market continue to improve.
This recent round of speculation drove the US dollar up, while gold prices took a hit. Stock prices in many countries fluctuated. Naturally, the rupiah suffered because of it. The price of one US dollar in Bank Indonesia soared to Rp13,534, the highest level since February 19.
May 24, 2016
Global markets received a sudden shock last Thursday. Speculations about the next Federal Reserve (Fed) rate hike returned and spread rapidly like a haunting specter. The info spread from the announcement of the Fed's meeting notes, which is obligatory for transparency purposes. It revealed that in last April's meeting, the Fed's Open Market Committee discussed the possibility of a June rate hike should US economic data and labor market continue to
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