[Institutions: The Dollar May Decline in 2026 Due to Fed Rate Cuts] Odaily Planet Daily News – Pictet Asset Management strategist Luca Paolini stated that as economic growth slows, paving the way for further rate cuts by the Federal Reserve, the dollar will face a new round of weakness next year. He pointed out that the interest rate differential of the dollar is narrowing significantly. 'We expect the U.S. economy to become slightly weaker, which will gradually ease inflationary pressures.' In contrast, economic growth in other parts of the world may improve, particularly in Europe and Japan. Additionally, the dollar remains overvalued. Pictet forecasts that by the end of 2026, the dollar index will drop from its current level of around 99.55 to 95. (Jin10)