FX.co ★ Dollar Steadies Ahead of Fed Meeting

The dollar index remained steady at around 99 on Tuesday, maintaining a sideways trajectory as investors awaited the commencement of the Federal Reserve's two-day policy meeting. During this meeting, it is widely anticipated that the Fed will reduce interest rates. Currently, market projections suggest an 87% probability of a 25 basis point rate cut on Wednesday, a noticeable increase from the 67% probability forecasted a month ago. However, the 2026 economic outlook is still uncertain. Analysts predict a "hawkish cut," with Fed Chair Jerome Powell likely to express caution regarding further monetary easing. This week, investors are also closely monitoring significant U.S. economic data releases, including the delayed October Job Openings and Labor Turnover Survey (JOLTS) report, which is expected later today. Additionally, weekly jobless claims and trade figures are due to be released this week. Furthermore, attention is focused on upcoming policy announcements from the central banks of Australia, Canada, and Switzerland, all anticipated to maintain their current interest rates.