The Dollar Expects a Hawkish Pause. Forecast as of 27.10.2026

Keeping interest rates unchanged in October while signaling a possible hike in December. Investors consider this the most likely outcome of the FOMC meeting. This scenario creates opportunities to sell EUR/USD on positive news. Let's discuss this topic and outline a trading plan.Major Takeaways Positive news fails to support the euro. The Fed will not raise rates despite strong economic data. Fellow Fed officials helped Kevin Warsh preserve his credibility. Short EUR/USD positions opened at 1.11