# SBS On the Money: Why US rate rise means higher Australian rates and lower dollar | SBS News

> The US Federal Reserve raised rates by 75 basis points to 3.25% and signalled further increases above expectations. Betashares expects the Australian dollar could fall toward US62 cents as a result, with Australian rates expected to rise in response.

- Date: 2022-09-22 · published 2022-09-22T12:00:00.000Z
- Category: macro · region Global · magnitude medium
- Page: https://feedsoft.ai/events/39837-sbs-on-the-money-why-us-rate-rise-means-higher-australian-rates-and-lower
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Australian Dollar (USD per AUD)](https://feedsoft.ai/c/AUDUSD.md)

## Why it matters

Wider rate differentials favour the US dollar, which tends to pressure dollar-priced commodities and make Australian exports more competitive.

## Read by commodity

- DXY: bullish ▲
- AUDUSD: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2022-01-26 | [Australian dollar nears one-month low as the US dollar surges and the mood darkens](https://feedsoft.ai/events/43385-australian-dollar-nears-one-month-low-as-the-us-dollar-surges-and-the-mood.md) | +0.2% | -0.4% |
| DXY | 2018-02-28 | [Will the Australian dollar get crushed as US interest rates storm higher? - ABC News](https://feedsoft.ai/events/66746-will-the-australian-dollar-get-crushed-as-us-interest-rates-storm-higher-abc.md) | -0.1% | -0.5% |
| DXY | 2025-01-03 | [Interest rates, exporters and Reserve Bank intervention: There's a lot at stake as the Australian dollar weakens - ABC News](https://feedsoft.ai/events/26751-interest-rates-exporters-and-reserve-bank-intervention-there-s-a-lot-at-stake.md) | -0.1% | -0.8% |
| DXY | 2022-09-28 | [Why is the US dollar so strong, and what does it mean?](https://feedsoft.ai/events/10320-why-is-the-us-dollar-so-strong-and-what-does-it-mean.md) | -1.8% | -1.5% |
| DXY | 2018-04-30 | [US Dollar To Australian Dollar (USD/AUD) Exchange Rate Rises 0.5% On US Spending Stats](https://feedsoft.ai/events/65756-us-dollar-to-australian-dollar-usd-aud-exchange-rate-rises-0-5-on-us-spending.md) | +1.0% | +2.2% |

## Sources

- sbs.com.au: https://www.sbs.com.au/news/podcast-episode/sbs-on-the-money-why-us-rate-rise-means-higher-australian-rates-and-lower-dollar/k6heiwh55

---
Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.