US Dollar Index Steadies Around 99.50 Ahead of US House Shutdown Vote
The US Dollar Index (DXY) holds near 99.50 as traders adopt a cautious stance ahead of the US House vote on the bill to end the government shutdown. The Senate has already approved the compromise, and President Trump’s backing suggests the government could reopen within days, unlocking delayed paychecks and a wave of economic data.
Meanwhile, weaker-than-expected ADP employment figures, showing private employers cutting an average of 11,250 jobs per week in the last four weeks of October, have reinforced expectations of Federal Reserve policy easing. Markets now price in roughly a 66% chance of a 25-basis-point Fed rate cut in December, up from 62% a day ago.
Traders will also watch speeches from Fed officials Christopher Waller, Raphael Bostic, and Stephen Miran for additional clues on monetary policy. Overall, the DXY remains in a holding pattern as markets weigh the dual impact of the imminent government reopening and a potentially more accommodative Fed.