The US dollar index dipped to around 98.7 on Wednesday, snapping a four-day winning streak as investors turned cautious ahead of the Federal Reserve’s policy announcement. The Fed is widely expected to keep interest rates unchanged, though markets are focused on any signals pointing to a possible rate cut in September. President Donald Trump has continued to pressure the Fed to lower borrowing costs. Fed Governors Christopher Waller and Michelle Bowman, both seen as contenders to lead the central bank, are expected to dissent at this month’s meeting. Investors are also watching upcoming data releases on private payrolls, GDP, and pending home sales for further clues on the strength of the US economy. On the trade front, US-China talks in Stockholm ended Tuesday without an extension of the current truce. Treasury Secretary Scott Bessent said that any deal will require Trump’s personal approval before moving forward.