The dollar index held above 99 on Thursday after a sharp rise in the previous session as traders pared expectations for a December rate cut following hawkish comments from Federal Reserve Chair Jerome Powell. On Wednesday, the Fed delivered a widely expected quarter-point rate cut and announced plans to end its balance sheet drawdown on December 1. However, Powell stressed that another cut this year was far from a “foregone conclusion,” citing divisions within the central bank and limited federal data amid the government shutdown. Markets now assign less than a 70% chance of another cut before year-end, down from near full pricing before Wednesday’s decision. Meanwhile, investors turned their attention to the closely watched Trump-Xi meeting, where the two leaders are expected to formalize a trade truce after months of tensions.