Dollar Could Ease Further if Fed Avoids Rate Rises

Dow Jones07-02 22:16

1416 GMT - The dollar's pullback after Thursday's weaker-than-expected U.S. nonfarm payrolls print could have further to go, Monex Europe analysts say in a note. The Federal Reserve is likely to leave interest rates unchanged, defying expectations for rate increases, they say. Furthermore, Monex doesn't share market optimism that AI will generate a substantial, immediate boost in activity. This leaves markets primed for disappointment, with the dollar also set to suffer, the analysts say. The DXY dollar index falls 0.7% to 100.708 after reaching a two-week low of 100.558 shortly after the jobs data, according to LSEG, and Monex expects the DXY to fall to 98.1 over the next 12 months. (renae.dyer@wsj.com)

(END) Dow Jones Newswires

July 02, 2026 10:16 ET (14:16 GMT)

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