The U.S. Dollar Index (DXY) has broken a significant threshold, falling to 96.858—its lowest point since February 2022. At the same time, the euro has surged to 1.17777 USD, marking its highest exchange rate since September 2021. This shift reflects mounting pressure on the dollar amid evolving global financial trends and speculation around upcoming U.S. monetary policy.
According to financial analysts, the year-to-date performance of the DXY marks its worst showing since 1973, a year tied to the collapse of the Bretton Woods system and the onset of modern floating exchange rates. The slump signals waning investor confidence in the U.S. dollar and could signal more capital shifting into alternative currencies and assets.
The surge in EUR/USD reflects both dollar weakness and renewed investor optimism toward the eurozone economy, driven in part by strong Q2 data and recalibrated ECB projections.
Markets now await further cues from the Federal Reserve, whose next moves could determine whether the dollar stabilizes or continues its historic slide.
