Live markets: DXY Index breaks higher as bitcoin tries to weather stronger dollar
Get the Finance newsletter
Daily finance — markets, central banks, M&A, the prints that move money. Free.
- U.S. Dollar Index (DXY) climbed to 100.7, its highest level since May 2025, breaking out of a narrow 96-100 range it had traded in over the past year
- Federal Reserve Chair Kevin Warsh delivered a hawkish debut FOMC meeting on Wednesday, with the DXY breakout following
- Dollar strength is typically bearish for risk assets as it tightens global financial conditions, reduces liquidity, and increases the attractiveness of dollar-denominated investments, per the source
- Bitcoin held above $64,000 despite the dollar's rally
- Gold continued to hold above $4,200 even as the greenback strengthened
Why it matters: The DXY's breakout above its year-long 96-100 range tightens global financial conditions, typically bearish for risk assets. Yet bitcoin held above $64,000 and gold above $4,200, meaning the real story is the dollar's gravitational pull intensifying after a year of quiet — an angle equity-rebound and oil-fall headlines are downplaying.
Ask SkimNews
