When the Fed cuts interest rates, borrowing becomes cheaper, stimulating economic growth. However, lower rates also make the U.S. dollar less attractive to investors, often leading to a decline in its value. A weaker dollar can boost exports by making American goods more competitive globally, but it also raises import costs, potentially driving inflation. The big question is whether this trend will persist or if other economic forces will counteract it. Investors and businesses must stay alert as the market reacts. #FedRateCutAffectsDollarTrend