Forex
US Dollar Index Soars Amid Hawkish Fed Repricing
The US Dollar Index surged last week as Treasury yields rose and markets adjusted to a more hawkish Federal Reserve, making it the strongest-performing G10 currency.
According to Deutsche Bank's analysis, the surge in Treasury yields led to a stronger US Dollar, while Gold prices fell due to higher real and nominal yields putting downward pressure on precious metals as non-interest-bearing assets.
The report notes that the Dollar Index gained 0.81% last week, with the exception of a minor decline of 0.25% on Friday.