---
title: "The US dollar index maintained its gains around 99.50 ahead of the Federal Reserve's decision, awaiting Powell's speech"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/239086872.md"
description: "The US dollar index remains around 99.50 ahead of the Federal Reserve's interest rate decision, with the market expecting the Fed to keep the benchmark interest rate unchanged at 4.25–4.50%. Despite the US economy contracting in the first quarter, inflation indicators show easing price pressures, and investors are increasingly concerned about the possibility of an economic slowdown. Meanwhile, a high-level meeting between the US Treasury Secretary and the Chinese Vice Premier will take place this weekend, amid escalating global trade tensions"
datetime: "2025-05-07T09:46:27.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/239086872.md)
  - [en](https://longbridge.com/en/news/239086872.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/239086872.md)
---

# The US dollar index maintained its gains around 99.50 ahead of the Federal Reserve's decision, awaiting Powell's speech

As the market becomes cautious ahead of the Federal Reserve's (Fed) interest rate decision, the US dollar is strengthening. The market generally expects the Fed to keep the benchmark interest rate unchanged at 4.25–4.50% during its third meeting in May 2025. This pause reflects the central bank's balancing act in responding to signs of cooling inflation and a strong labor market, along with increasing uncertainty surrounding US trade policy.

The US economy contracted in the first quarter, with GDP annualized declining by 0.3%, primarily due to a surge in imports as businesses and consumers rushed to stockpile goods in anticipation of tariff increases. Despite the economic slowdown, inflation indicators such as the Consumer Price Index (CPI) and Personal Consumption Expenditures (PCE) still show signs of easing price pressures, while employment data remains strong. However, investors are increasingly factoring in the possibility of a slowdown in economic conditions.

Meanwhile, US Treasury Secretary Scott Basset and Trade Representative Jamieson Greer are scheduled to meet with Chinese Vice Premier He Lifeng in Geneva this weekend. This will be the first high-level meeting since the US imposed tariffs, amid escalating global trade tensions. The Chinese Ministry of Commerce confirmed participation while assessing Washington's proposals, taking into account domestic industry opinions and global sentiment.

## US Dollar Price Today

The table below shows the percentage changes of the US dollar (USD) against the listed major currencies today. The US dollar is strongest against the Japanese yen.

The heatmap shows the percentage changes of major currencies relative to others. The base currency is selected from the left column, while the quote currency is selected from the top row. For example, if you select the US dollar from the left column and move along the horizontal line to the Japanese yen, the percentage change displayed in the box will represent USD (base)/JPY (quote)

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