The U.S. dollar held near a two-month high on Thursday as financial markets shifted into wait-and-see mode ahead of Federal Reserve Chair Jerome Powell’s speech at the Jackson Hole symposium on Friday. The dollar index hovered around 98.3, while the euro, sterling and yen were little changed in thin trading. Traders are pricing an 82% chance that the Fed will deliver a 25-basis-point rate cut at its 16–17 September meeting, according to CME’s FedWatch tool. A hawkish turn by Powell could see those odds repriced, strategists said. Benchmark U.S. 10-year Treasury yields inched up to 4.31%, reflecting the uncertainty. Equity markets were equally subdued. Europe’s STOXX 600 slipped 0.2% in early trade, and Wall Street futures were mixed after technology shares fell for a second day. Gold was broadly steady around $3,340 an ounce, giving back modest overnight gains that had been attributed to renewed questions about the central bank’s independence. Those concerns intensified after President Donald Trump called for Fed Governor Lisa Cook to resign, the latest in a series of attacks on the central bank. Cook said she had "no intention of being bullied to step down." Analysts said political pressure is adding a small risk premium to U.S. assets but has not yet altered near-term policy expectations. The three-day Jackson Hole gathering opens on Thursday, with investors looking for clarity on whether the Fed will signal additional easing or stress patience amid lingering inflation pressures and the unknown impact of existing tariffs. Market activity is expected to remain muted until Powell’s remarks provide firmer guidance.