US Dollar Gains as Warsh Delivers Hawkish Surprise. Forecast as of 18.06.2026

The new Fed Chair did not provide any additional guidance on future rates, but reaffirmed a strong commitment to returning inflation to the 2% target. Markets interpreted the message as a hawkish surprise, boosting demand for the US dollar and pushing EUR/USD quotes lower. Let's examine the implications and develop a trading strategy.Major Takeaways The Fed aims to return inflation to its 2% target. Half of the FOMC members expect a rate hike. The likelihood of monetary tightening in September h