The dollar is strong because U.S. economic data is better than expected. This makes it less likely that the Federal Reserve will cut interest rates soon. The yen is weak after new tariffs from U.S. President Donald Trump. People are watching U.S. consumer spending data to see if the economy needs more help from the Fed.
US Federal Reserve chair Kevin Warsh says he will stick by 2% inflation target, vows to bring in real-time economic data for making interest rate decisions
Federal Reserve Chairman Kevin Warsh declared unwavering commitment to the 2% inflation target, signaling no monetary policy easing despite President Trump’s calls for rate cuts.
July 1, 2026