Dollar Holds Steady Ahead of CPI Report

2025-12-18 01:59 By Jam Kaimo Samonte 1 min. read

The dollar index hovered around 98.4 on Thursday, holding onto gains from the previous session as investors positioned ahead of the closely watched November CPI report, which is expected to show price pressures remain above the Federal Reserve’s target.

Mixed November labor market data released earlier in the week did little to alter market expectations, with investors still pricing in at least one Fed rate cut next year.

Meanwhile, Fed Governor Christopher Waller, who is under consideration to become chair of the central bank, said there remains scope to cut rates amid signs of softening in the job market.

In contrast, Atlanta Fed President Raphael Bostic signaled a more cautious stance, saying he does not expect further reductions in borrowing costs in 2026.

Attention is also turning to monetary policy decisions from other major central banks, with the European Central Bank and Bank of England set to announce later today, followed by the Bank of Japan on Friday.



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