US 10-year bond yields are on the rise once more, after the Fed announced it was ending the Supplementary Leverage...
USD
In this section, you will find important information on the US dollar index: news, actionable trading ideas, and a live DXY chart. All of which will help you understand the markets better.
What is USD?
USD is the financial abbreviation for the United States dollar. As its name suggests, it is the official currency used by the United States of America and its territories since the Coinage Act of 1792. It is governed by the Federal Reserve, otherwise known as the Fed. The Federal Open Market Committee (FOMC) is the board that decides on monetary policy.
Related currencies: USDMXN – USDNOK – USDRUB – USDSEK.
Most of the world’s currency reserves are in US dollars. This is why it is also dubbed as the global currency. The Bretton Woods System allowed countries to pegged their currencies to the US dollar. Consequently, central banks all over the world accumulated the currency in their vaults to help stabilize their economies after the Second World War.
It is then no surprise that among all currencies on the spot FX market, the US dollar is the most heavily traded. Its performance is often tracked through the US dollar index, with the most popular being the DXY index. It measures the value of the US dollar against a basket of 6 currencies. Namely, the following make up the basket: the euro makes up a huge percentage of it at 57.6%, followed by Japanese yen at 13.6%, the British pound is in third at 11.9%, the Canadian dollar makes up 9.1%. Meanwhile, the Swedish krona and Swiss franc make up the smallest portion of the basket at 4.2% and 3.6%, respectively.
More Related currencies: USDCAD – USDCHF – USDCNH – USDINR – USDJPY.
The DXY was introduced in 1973 when the Bretton Woods System was no longer in effect. The US dollar index also makes it easier for forex traders to see the general performance of the US dollar without needing to check its chart against its counterparts individually. It can also be used as a leading indicator. For instance, the DXY may already be testing a major resistance level. A forex trader can then use the information to look for potential trades to sell the US dollar against the yen or the euro, for example.
The USD Index (DXY) has recovered nicely this Thursday after US 10-year bond yields surged. The DXY had faced late...
The USD Index continued its upward march, albeit in muted fashion as the greenback continues to be buoyed by the...
The USD Index is off intraday highs, but still retains some gains for the day. This price picture is a...
Credit Suisse is predicting that the yield on the US 10-year bond asset could hit 1.82% by the end of...
The US Dollar Index (DXY) appears to have overcome recent weakness that followed the rejection at 92.50 and posted gains...
The USD Index (DXY) is down this Wednesday after US Core CPI rose to 0.1% from the previous month’s figure....
The US Dollar Index (DXY) is trading 0.23% higher on the day after the dollar held firm on Thursday ahead...
The USD Index (DXY) was only able to register marginal gains this Monday after falling yields on the long-term bonds...
The US Dollar Index (DXY) retains its bullish bias for the day, after the Fed’s preferred inflation barometer, the Core...