Fed expected to cut rates sharply in Q4

In the Asian session on Tuesday (June 13), the latest price of the U.S. dollar index was 103.58, and the opening price was 103.62. The Fed is still likely to raise rates one last time this summer, but is expected to cut rates sharply in the fourth quarter after deflation became more pronounced in the third quarter, analysts said.

“This means that we are still looking for the beginning of a multi-year cyclical bear market trend, likely starting in the third quarter.” Analysts said the euro could rise from the current 1.0755 to above 1.15 by the end of the year, analysts said. With the Fed likely to cut interest rates aggressively in the fourth quarter of this year, the dollar should end the year sharply lower.