FOMC Rate Hike Expectations Split as Iran Deal Faces Criticism

Markets remain divided over the Fed's next rate decision, with no consensus on the timing or scale of further hikes. Separately, Japan's Defense Minister Koizumi reached an agreement on rare earth supply chains, targeting zero dependency on foreign sources. USD pairs are in focus as FOMC uncertainty fuels volatility in EUR/USD and USD/JPY. The Japan rare earth deal may modestly support JPY sentiment, while split Fed expectations could trigger sharp repricing in dollar positions if guidance shifts.