Dollar Strength: Fed’s Possible Pause May Boost USD

Monex Europe analysts predict a potential boost in the U.S. dollar if the Federal Reserve signals its intention to hold off on rate cuts during upcoming discussions. Market expectations currently point towards a possible easing move in June, but recent economic data suggests the Fed might delay such action until the fourth quarter. This scenario, coupled with anticipated increases in tariffs, could lead to persistent inflation and maintain high price pressures.