The President has been vocal for months now in his criticism of the FOMC and how monetary policy has resulted in a dollar that is too strong relative to other global currencies. Based on trends in the dollar during Q4, though, the President may just be getting his wish. The chart below shows the performance of the Bloomberg US Dollar Index throughout 2019. After hitting a YTD high on the first day of Q4, the index has steadily trended lower, falling by more than 2.5% and into the red for the year. After breaking its uptrend earlier this month, the Bloomberg Dollar Index saw a quick bounceback in the middle of the month that ran out of steam right at its former uptrend line. While it was able to maintain that level over the last couple of days, as markets around the world re-opened for trading today, the bottom has really fallen out, and the index is on pace for its lowest close since July 18th.
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