Dollar Could Trade Range-Bound if Fed Holds Rates Steady -- Market Talk

Dow Jones04-07

1251 GMT - The dollar could trade range-bound if the Federal Reserve leaves interest rates unchanged the rest of this year as expected, Societe Generale's Kit Juckes says in a note. The market expects rate rises from all G-10 central banks except the Fed, he says. This is despite the fact that the only G-10 economy that is forecast to have stronger growth than the U.S. this year is Sweden, he says. These rate expectations have limited the dollar's appreciation as the Iran war has boosted safe-haven assets and oil prices. If the Fed cut rates significantly alongside higher inflation and accommodative fiscal policy, the dollar would probably fall, Juckes says. The DXY dollar index falls 0.1% to 99.908.(renae.dyer@wsj.com)

(END) Dow Jones Newswires

April 07, 2026 08:52 ET (12:52 GMT)

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