The US dollar index edged lower by week’s end but still posted gains, supported by safe-haven demand as Trump gave Iran a final warning on its nuclear program. The Fed held rates steady and signaled two cuts for 2025 but cautioned that tariffs could keep inflation high.
U.S. 10-year yields held near 4.39% on Friday as investors assessed geopolitical tensions and economic uncertainty. Safe-haven demand stayed strong amid escalating Israel-Iran conflict and reports that President Trump gave Iran a two-week ultimatum to halt its nuclear program. The Fed kept rates steady and signaled two cuts in 2025, warning that new tariffs could raise inflation.
The Federal Reserve left interest rates unchanged in June, maintaining the target range at 4.25 to 4.5 percent for a sixth consecutive meeting.