USDX
As a measure to the world, the United States created a unique situation for its dollar index. It allowed the dollar index to trade almost as if it were a single free-floated currency. But it is actually a compendium of currencies.
The dollar index trades on the New York Board of Trade, now called the Intercontinental Exchange (ICE), as DXY. It trades for 22 hours as a futures and option contract on the Intercontinental Exchange and is quoted as DX. It also trades on the Chicago Mercantile Exchange (CME). The polemic with this scenario is this particular dollar is not today's official trade-weight dollar index. The DXY index originated in 1973 and formed along with all other nations’ TWI as currencies began a free float. This dollar index ...
Get Inside the Currency Market: Mechanics, Valuation, and Strategies now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
