US Dollar Index closes near 102.12 on Oct. 28 after Fed holds rates

On October 28, 2026 the US Dollar Index (DXY) closed at 102.12, a small intraday decline of about 0.2% as markets digested the Federal Reserve's decision to hold policy rates steady. The move reflected modest dollar reaction alongside rising Treasury yields and firmer US equities.

A firmer DXY raises the dollar funding value of local-currency assets for foreign investors and can put modest downward pressure on African currencies such as the South African rand. Higher US Treasury yields that often accompany dollar strength can increase borrowing costs for USD-denominated sovereign and corporate issuers in the region, potentially widening spreads if risk sentiment deteriorates. This note does not imply actual realised moves in ZAR or sovereign yields absent direct market data.

Market focus: Fed December meeting and CME-implied hike probability ahead of next US data releases.