There has been talk of a discount rate cut in the wake of the Fed’s move to lower the rates on Fed currency swaps with foreign central banks.
The discount rate is no longer the Fed’s policy rate, but it is a penalty rate set well above the market for emergency funding. It stands at 0.75% today. That’s quite a penalty with the Fed funds rate near zero.
The Fed could lower that rate, but it would merely be symbolic. If the dollar is sold on the announcement, feel free to take advantage and buy the dip. It won’t last long.