 | This article needs to be updated. (June 2020) |
The Wall Street Journal Dollar Index (WSJ Dollar Index) is an index (or measure) of the value of the U.S. dollar relative to 16 foreign currencies.[1]
The index is weighted using data provided by the Bank for International Settlements (BIS) on total foreign exchange (FX) trading volume. The index rises when the U.S. dollar gains value against the other currencies, and falls when the U.S. dollar loses value against the currencies.
The methodology and data used for the index set it apart from several existing metrics, such as the ICE U.S. Dollar Index, Dow Jones FXCM Dollar Index and FTSE Curex USD/G8 Index. The WSJ Dollar Index is a trade weighted index but unlike some of the other metrics, the WSJ Dollar Index captures the impact of capital flows on currency volumes, a significant determinant of currency market activity.[2]
- ^ "Wall Street Journal Dollar Index". Dow Jones & Co. Archived from the original on 2013-07-23. Retrieved 2013-07-24.
- ^ Tarsala, Michael. "WSJ offers up a new dollar index: Is it better?". Archived from the original on 2015-08-21. Retrieved 2013-07-24.