Fed Rate Cut Expectations Completely Fade Away

The DXY is trading at 101.00, down 0.22% in the last 24 hours. Although the RSI is neutral at 49.8, the MACD line remains below the signal line, indicating short-term weakness. The price is trapped between the SMA20 (100.99) and SMA50 (101.04), and staying below the SMA50 could increase selling pressure. While headlines suggest that rate cut expectations have faded—a development that typically supports the DXY—the current technical picture indicates that this support has not yet been priced in. A pullback toward the 100.80-100.90 zone is highly probable in the near term.

The complete disappearance of expectations for a Fed rate cut could disappoint markets and increase selling pressure in the short term. The SPX is trading below its 20-day moving average (7501), with the RSI at 49 in neutral territory, indicating weak momentum. The MACD line is below the signal line and in negative territory, confirming a bearish trend. The price is hovering near the 50-day moving average (7481); a drop below this level could trigger a deeper correction. In the short term, it is important to remain cautious and be prepared for potential downside moves.

The complete disappearance of expectations for a Fed rate cut is creating a negative catalyst for the technology-heavy NDX. Technically, the index is trading below both its 20-day and 50-day moving averages, indicating short-term weakness. Although the RSI is in neutral territory at 47, the MACD line is trending negatively below the signal line. Despite a slight uptick in the last 24 hours, the loss of rate cut expectations is suppressing risk appetite, increasing the likelihood of a downward move for the index.

The USDTRY pair may follow a sideways trajectory in the short term. Among technical indicators, the RSI stands at 56 in neutral territory, while the MACD is slightly above its signal line and in positive territory. The 20-day and 50-day moving averages are trading close to each other, indicating a lack of a clear trend. The fading expectation of a Fed interest rate cut, as highlighted in the news headline, could put pressure on emerging market currencies, but this impact may be limited for USDTRY. Overall, the pair tends to stabilize at current technical levels and is far from giving a clear directional signal.