# Dollar-Rate Breakdown Exposes Foreign-Exchange Mystery

> The US dollar has fallen 11% since late 2016 against its main trading partners and is down 2.7% so far this year on the WSJ Dollar Index. The decline is surprising many on Wall Street, which had expected dollar strength from Federal Reserve rate increases widening yield gaps over German bunds.

- Date: 2018-02-25 · published 2018-02-25T12:00:00.000Z
- Category: macro · region US · magnitude low
- Page: https://feedsoft.ai/events/66695-dollar-rate-breakdown-exposes-foreign-exchange-mystery
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A weaker dollar generally lifts dollar-denominated grain and feed prices and improves US export competitiveness. The decline runs against the rate-differential expectations many traders hold, so feed buyers should not assume a reversal.

## Read by commodity

- DXY: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2017-03-16 | [Why Did The US Dollar Fall Despite FED Hike? \| Exchange Rates UK](https://feedsoft.ai/events/72192-why-did-the-us-dollar-fall-despite-fed-hike-exchange-rates-uk.md) | -1.3% | -1.2% |
| DXY | 2020-10-08 | [No Encouragement For US Dollar Bulls From A Dovish FOMC Minutes \| Exchange Rates UK](https://feedsoft.ai/events/50559-no-encouragement-for-us-dollar-bulls-from-a-dovish-fomc-minutes-exchange-rates.md) | -0.2% | -1.6% |
| DXY | 2023-03-22 | [US banks’ collapse helps increase foreign exchange reserves: experts](https://feedsoft.ai/events/37177-us-banks-collapse-helps-increase-foreign-exchange-reserves-experts.md) | -1.0% | -1.5% |
| DXY | 2020-08-30 | [Pound To Dollar Rate Forecast: Could A Dovish BoE Weigh On GBP/USD Rates This Week? \| Exchange Rates UK](https://feedsoft.ai/events/51866-pound-to-dollar-rate-forecast-could-a-dovish-boe-weigh-on-gbp-usd-rates-this.md) | +0.1% | +1.4% |
| DXY | 2020-02-12 | [2020-2021 Exchange Rate Forecast: Pound Sterling And Dollar To Lose Ground This Year Say Commerzbank](https://feedsoft.ai/events/54834-2020-2021-exchange-rate-forecast-pound-sterling-and-dollar-to-lose-ground-this.md) | +0.4% | +1.6% |

## Sources

- wsj.com: https://www.wsj.com/articles/dollar-rate-breakdown-exposes-foreign-exchange-mystery-1519567200

---
Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.