The US dollar measured against a basket of six major currencies, dominated by the euro. A strong dollar tightens financial conditions worldwide.
The index compares the US dollar with the euro, yen, pound, Canadian dollar, Swedish krona and Swiss franc. FinVolio shows the Federal Reserve's broader trade-weighted dollar index.
Why it matters
Much of the world's debt and trade is priced in US dollars, so a rising dollar makes borrowing dearer for other countries and tends to weigh on commodities and emerging markets. A falling dollar does the reverse.
