Markets Await First Fed Rate Call Under Kevin Warsh

The US dollar traded cautiously on Wednesday as investors awaited the Federal Reserve’s first policy decision under new Chair Kevin Warsh. Markets widely expect the Fed to leave interest rates unchanged, shifting attention to Warsh’s outlook on inflation and future rate moves.

The dollar index edged lower to 99.5, while the euro held near $1.16 and the British pound traded around $1.34. Meanwhile, optimism surrounding a US-Iran peace deal reduced demand for safe-haven assets and improved risk sentiment.

Compare Top Forex brokers and start trading and investing with a trusted partner

The Japanese yen remained under pressure near 160 per dollar despite the Bank of Japan raising interest rates to a 31-year high. Traders continued to watch for possible intervention by Japanese authorities to support the currency.

Investors will focus on the Fed’s policy statement, economic projections, and Warsh’s press conference for clues on whether policymakers are moving away from expectations of rate cuts later this year.

Broker picks:

• Exness – Min deposit , leverage up to Unlimited, spreads from 0.3 pips, regulated by FCA, CySEC, FSCA, FSA Seychelles.

• Vantage Markets – Min deposit $50, leverage up to 1:2000, spreads from 0.0 pips, regulated by FCA, ASIC, CIMA, FSCA.