The dollar index was little changed around 98.7 on Wednesday, holding small losses from earlier in the week as investors braced for the latest Federal Reserve policy decision, where it is widely expected to deliver a quarter-point rate cut. Traders will look for any hints from Chair Jerome Powell about the pace of additional easing, with another rate reduction in December being priced in by markets. Investors also looked ahead to the closely watched meeting between US President Donald Trump and Chinese President Xi Jinping, expected to finalize a framework that could pause higher US tariffs and China’s rare earth export controls. Meanwhile, the dollar extended losses against the yen after Treasury Secretary Scott Bessent met with Japan’s Finance Minister Satsuki Katayama to discuss foreign exchange volatility, urging “sound monetary policy” in what was viewed as a subtle critique of Japan’s slow rate normalization.