The bullish sentiment for the US dollar is rising as the market expects Powell to maintain a hawkish stance.

[Chain News] On August 22, news from the data platform reported that currency options show bullish sentiment for the US dollar has risen to its highest level in three weeks. Traders are generally betting that Fed Chairman Powell will maintain a hawkish stance on interest rate policy. Sonja Marten, head of forex and monetary policy research at Deutsche Bank, believes that although there is a possibility of a 25 basis point rate cut in September, Powell is unlikely to take more aggressive rate cut measures and may resist rate cut pressure from the White House.

Monex Europe macro research director Nick Rees stated that if Powell's comments suggesting a possible rate cut in September are overly interpreted by the market, it could trigger a temporary sell-off of the dollar. However, overall, the market's expected tone will be hawkish, which may further strengthen the dollar before the end of this week.