The market bets that Powell will maintain a PI stance, and the bullish sentiment for the dollar is rising.

According to Shenchao TechFlow news on August 22, Jin10 data reported that currency options show bullish sentiment for the US dollar has risen to its highest level in three weeks, as traders bet that Powell will not take an overly dovish stance on interest rate cuts. "The possibility of a 25 basis point cut in September will be kept," said Sonja Marten, head of forex and monetary policy research at Deutsche Bank, "but I don’t think he will be more aggressive than that." Marten stated that Powell may resist rate cut pressures from Trump, and he will "make it very clear that he will not take a path that may lack fundamental support due to pressure from the White House." Nick Rees, head of macro research at Monex Europe, stated that if the market excessively focuses on any comments from Powell suggesting a possible rate cut in September, it could trigger an initial dumping of the US dollar, but this situation may be short-lived. "Overall, we expect the tone to lean hawkish, thereby pushing the US dollar to strengthen further before the end of this weekend."