# US Bond Yields Are the Cause of Dollar Weakness: Deutsche Bank - WSJ

> Deutsche Bank says the dollar is falling because of higher US Treasury yields, since higher yields mean lower bond prices and weaker investor demand. It expects further dollar weakness and says recently agreed fiscal stimulus will push bond fair values lower through more issuance. The DXY index was around 89.16 at the time.

- Date: 2018-02-19 · published 2018-02-19T12:00:00.000Z
- Category: macro · region US · magnitude low
- Page: https://feedsoft.ai/events/66697-us-bond-yields-are-the-cause-of-dollar-weakness-deutsche-bank-wsj
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A forecast of continued dollar weakness supports US-priced feed commodities in global markets. The fiscal-deficit driver also suggests persistent pressure on the dollar that could last beyond short-term rate moves.

## Read by commodity

- DXY: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2022-11-28 | [Dollar weakens as U.S. bond yields drop](https://feedsoft.ai/events/38899-dollar-weakens-as-u-s-bond-yields-drop.md) | -1.1% | -1.1% |
| DXY | 2024-02-16 | [Dollar retreats on weak US Retail Sales, bond yields slump](https://feedsoft.ai/events/31933-dollar-retreats-on-weak-us-retail-sales-bond-yields-slump.md) | -0.1% | -0.7% |
| DXY | 2019-06-21 | [Dollar extends losses to 2-week low as US bond yields fall](https://feedsoft.ai/events/7440-dollar-extends-losses-to-2-week-low-as-us-bond-yields-fall.md) | -0.1% | +0.1% |
| DXY | 2023-11-21 | [Gold marches ahead to the beat of a weaker US dollar](https://feedsoft.ai/events/33074-gold-marches-ahead-to-the-beat-of-a-weaker-us-dollar.md) | -0.6% | -0.7% |
| DXY | 2025-05-19 | [Dollar set for more weakness as 'Brand USA' falls further out of favor \| Reuters](https://feedsoft.ai/events/24861-dollar-set-for-more-weakness-as-brand-usa-falls-further-out-of-favor-reuters.md) | -1.4% | -2.4% |

## Sources

- wsj.com: https://www.wsj.com/articles/usd-to-consolidate-as-trade-tensions-grow-1519002399

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