Dollar Index Stagnant Ahead of Fed Decision Amid High Rate Hike Expectations

The US Dollar Index has been hovering around 101.50 amid uncertainty surrounding the Federal Reserve's policy decision on Wednesday.

The markets are pricing in a nearly 38% chance of a rate hike in July, which is an unusually high level of uncertainty close to a meeting.

Citadel Securities expects the Fed to deliver a rate increase to solidify Chairman Kevin Warsh’s inflation-fighting credibility following his repeated promises to restore price stability.