The dollar index was little changed around 98.4 on Thursday after falling 0.6% in the previous session, as the Federal Reserve announced a 25 basis point rate hike that has long been anticipated without delivering a more hawkish surprise that might have been a catalyst for further dollar appreciation. The Fed also raised its projections for inflation and signaled six more hikes this year, taken by investors as an aggressive move towards keeping inflationary pressures in check. Meanwhile, the US central bank cut its GDP estimate for 2022 to a 2.8% expansion from the 4% it predicted in December, citing high prices and economic disruptions from the war in Ukraine. The dollar also weakened against riskier currencies which gained on hopes for a compromise between Russia and Ukraine.
