. Mitsubishi UFJ Financial Group: If the Federal Reserve keeps interest rates unchanged, the US dollar may fall.

Analysts at Mitsubishi UFJ Financial Group stated in a report that the US dollar may weaken by the end of the year as the Federal Reserve may not hike interest rates as expected by the market. The tough stance on inflation by the new Federal Reserve Chairman Kevin Wash has fueled speculation of a rate hike. However, these analysts also mentioned that the Federal Reserve may keep interest rates unchanged. "US inflation seems to be nearing its peak and should ease in the remaining time of the year, reducing the pressure on the Federal Reserve to take strong measures," they said. They also mentioned that the pressure for inflation to slow down should increase as energy prices fall and the effects of last year's tariff hikes fade. They also stated that the potential improvement in economic growth outside the United States should also put pressure on the dollar.