Dollar Hits Near One-Month High as Fed Minutes Hint at Rate Hikes

The U.S. dollar climbed to a near one-month high on Feb. 19, 2026, after Federal Reserve meeting minutes indicated potential interest rate hikes if inflation remains sticky. The dollar index (DXY) rose 0.2% to 97.92. Minutes from the Fed's January meeting revealed that while most officials supported holding rates steady, several signaled a willingness to maintain higher rates for longer or hike further should inflation persist. Consequently, the euro fell 0.1% to $1.1766, and the British pound dropped 0.4% to $1.3455 on expectations of a Bank of England rate cut. Investors await key inflation and GDP data scheduled for Feb. 20.