Trade Indicator
U.S. Dollar Index (DXY)
Updated 2026-04-04 · Daily · Source: Federal Reserve
Historical Trend
| Date | Value |
|---|---|
| 2026-04-04 | 103.0 |
| 2026-03-28 | 107.1 |
| 2026-03-14 | 103.7 |
| 2026-03-07 | 103.9 |
| 2026-02 | 106.6 |
| 2026-01 | 109.4 |
| 2025-12 | 108.0 |
| 2025-11 | 106.4 |
| 2025-10 | 104.0 |
What This Means for Business
The dollar has weakened to 103.0, down from a January peak of 109.4. A weaker dollar is mixed for U.S. businesses: it makes American exports more competitive abroad and boosts the dollar value of foreign earnings (positive for multinationals), but it increases the cost of imported goods and raw materials. For executives at companies with significant international revenue, dollar weakness is generally a tailwind for reported earnings.
About Dollar Index
The U.S. Dollar Index measures the value of the U.S. dollar against a basket of major currencies (euro, yen, pound, Canadian dollar, Swedish krona, Swiss franc). It reflects the dollar's purchasing power in international markets.
Methodology
The DXY is a weighted geometric mean of the dollar's value against six currencies: Euro (57.6%), Japanese Yen (13.6%), British Pound (11.9%), Canadian Dollar (9.1%), Swedish Krona (4.2%), and Swiss Franc (3.6%). It was established in 1973 with a base of 100. The Federal Reserve also publishes broader trade-weighted dollar indices.
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Frequently Asked Questions
What causes the dollar to strengthen or weaken?
The dollar strengthens when U.S. interest rates rise relative to other countries (attracting foreign capital), when the U.S. economy outperforms (boosting demand for dollar assets), and during global uncertainty (flight to safety). It weakens when U.S. rates fall, economic growth slows, or trade/fiscal deficits widen. Fed policy is usually the dominant driver.
How does a strong dollar affect corporate earnings?
For companies with significant international revenue, a strong dollar reduces the dollar value of foreign earnings (translation effect) and makes U.S. exports more expensive abroad (competitiveness effect). S&P 500 companies derive roughly 40% of revenue from overseas, so a 10% dollar move can meaningfully impact aggregate earnings. Companies often hedge currency risk, but hedges expire and must be renewed.