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Related tickers and likely impact
DXY
• NeutralRelevance: low
| Market | Currencies |
|---|---|
| Close on 10/23/2026 | 101.74 |
| Change that session | +0.11% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Dollar Pauses as Five Central Banks Prepare Rate Decisions
The U.S. dollar steadied in Asia as traders weighed differing rate expectations ahead of five central-bank decisions next week, with AI spending seen possibly keeping U.S. growth firm and policy restrictive. Reuters reported markets expect the Fed, ECB and Bank of Japan to hold rates, while increases are anticipated in Canada and New Zealand, though these are market expectations rather than official decisions. The Fed raised its target range by 25 basis points to 3.75%-4.00% on Sept. 16 and meets Oct. 27-28, when traders expect no change before a possible increase in December. UK consumer price inflation rose to 3.5% in September from 3.1% in August, while New Zealand's annual inflation eased to 3.7% in the September quarter from 4.1% but stayed above the 1%-3% target band, and Canada's rose to 3.1% from 3.0%. Reserve Bank of Australia deputy governor Andrew Hauser said oil prices, AI-related demand and domestic capacity limits are inflation risks.
- Fed expected to hold rates steady, but Warsh may point way to more hikes
Markets overwhelmingly expect the Federal Reserve to keep benchmark rates unchanged this week after its September increase, so investors are focused on signals from Chairman Kevin Warsh about future moves. September CPI rose 3.7% annually, driven largely by energy prices, while core CPI reached 2.6%, up 0.3 percentage points from August. Deutsche Bank's Brett Ryan expects Warsh to signal that further tightening will likely be needed over time, while Evercore ISI's Krishna Guha warns of material execution risk given the Fed's limited detail on how it views risks. Trading in fed funds futures implies about a 10% chance of a hike this week but more than 80% for December, according to CME Group's FedWatch tool.
- US Dollar Price Forecast: Five Central Banks Loom, DXY Eyes 102.43 as EUR/USD Breaks Lower
The dollar firmed as a week of five central bank decisions began, with the DXY near 102.04, close to a one-week high, supported by a tech-stock rebound and a weaker euro. The Fed is expected to skip a hike when its meeting ends Wednesday, though CME's FedWatch tool put the chance of at least one hike by December at about 73% on Monday. The euro hovered near a two-week low around 1.1165, down about 1.4% this month, as the yield premium on French 10-year bonds over German debt rose to about 167 basis points from 92 at the ECB's previous meeting. The ECB is expected to hold its deposit rate at 2.5% on Thursday. In the UK, Chancellor John Healey presents his first Budget on Wednesday, with the FT reporting a £20.4bn capital boost over five years for two state-backed lenders, while a Bank of England hike to 4% on November 5 is seen as almost certain.
- US Dollar Price Forecast: Five Central Banks Loom, DXY Holds 101.60 as EUR/USD, GBP/USD Coil
The dollar eased on Monday as oil prices and Treasury yields pulled back, leaving the dollar index little changed near 101.65 ahead of decisions from five central banks. In a Reuters poll, 94 of 100 economists expect the Fed to hold rates on Wednesday, so traders will focus on how many policymakers vote for a hike and any hints about December. Moody's kept France at Aa3 with a negative outlook, sparing it a downgrade and lifting the euro 0.15% to 1.1218, while S&P reviews France on November 27. UK retail sales volumes fell 0.4% in September, worse than the 0.1% drop expected, while GfK consumer confidence dropped 11 points to minus 24, its steepest one-month fall since the 2020 pandemic. These data land before Chancellor John Healey's Autumn Budget on October 28, adding growth risk to a pound that has leaned on expectations of a November rate hike.
- Stock Futures Set to Trade Ahead of Fed Decision
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- Bessent says 'not necessarily' a mistake if the Fed hikes again
US Treasury Secretary Scott Bessent spoke to CNBC after the Federal Reserve's latest policy decision, just days before an election that will determine the balance of power in Washington. The Fed kept interest rates unchanged, as the market had widely expected, after pausing its rate hikes. Bessent said it would be 'not necessarily' a mistake if the Fed needed to raise rates at its December meeting. Fed funds futures traders put the probability of a December rate hike at more than 83%. Bessent is a key confidant of President Donald Trump, whose Republican Party is counting down to next week's midterm elections, and the outcome of several key races could determine whether the GOP retains total control in Washington.
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- Vertiv Guides for 38% Growth, GE Vernova's Orders Jumped 96%. Which AI Power Stock Is the Better Buy After the Sell-off?
Vertiv and GE Vernova, both suppliers of AI data center infrastructure, beat Wall Street estimates in their third-quarter reports. Vertiv's revenue rose 61% year over year and it expects 38% organic growth for the full year, while GE Vernova's revenue rose 27% and its orders jumped 96% organically, with full-year revenue guided up 22%-25%. Both stocks remain well below their all-time highs from earlier this year (45% and 24% respectively), after the Fed raised benchmark rates for the first time in three years this September. Vertiv faces supply constraints and possible margin pressure from its UtilityInnovation Group acquisition, while GE Vernova's Wind segment remains weak and its planned Trench Group deal could compress margins. The author expects Vertiv's EPS to grow faster (49% CAGR vs 24% from 2025 to 2028) and notes it trades at 25 times next year's earnings versus 37 times for GE Vernova, so if forced to choose one, the author would pick Vertiv.
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