The USD to FJD exchange rate appears bearish in the near term.
Key drivers include the Federal Reserve's anticipated rate cuts, which could weaken the USD, while global economic growth and rising commodity prices may support the FJD as Fiji seeks to diversify its markets amid US tariffs. Additionally, Fiji's economic growth is expected to slow down, but the FJD has shown relative stability against major currencies, offering some support.
The expected trading range for the USD to FJD exchange rate is likely to remain within its recent 2.1% range, maintaining stability around current levels.
Upside risks may arise from a resurgence in global trade or economic growth that could bolster the FJD. Conversely, a larger than expected decline in US economic indicators or continued pressure from tariffs on Fijian exports could weaken the FJD further against the USD.
