Singapore, September 16 (QNA) - The dollar held firm on Wednesday, trading near multi-week highs against major currencies as investors awaited the Federal Reserve's monetary policy decision, with traders increasingly betting on the first in a potential series of interest rate hikes.

The dollar and US Treasury yields rose overnight, with the greenback posting its biggest gains against the yen and New Zealand dollar. The kiwi fell to a two-month low of $0.5749 in Asian trading, while the yen weakened to a one-week low of 155.43 per dollar.

The euro was little changed at $1.1535, hovering near a one-month low of $1.1523 hit on Monday. Sterling was also close to its six-week low, trading at $1.3470 after touching $1.3464 on Monday.

The Australian dollar was steady at $0.7126.

Currency markets remained relatively subdued even as global bond yields have risen in tandem in recent weeks, reflecting changing expectations about the trajectory of interest rates. (QNA)