# Why a weak dollar may be a sign of long-term pessimism - MarketWatch

> The ICE Dollar Index ended 2017 down 10%, its largest annual decline since 2003, despite three Fed rate hikes and near-decade-high bond yields. BNY Mellon analysts attribute the weakness to short-term uncertainty and possible long-term pessimism. The euro rose 14.1% against the dollar in 2017.

- Date: 2018-01-04 · published 2018-01-04T12:00:00.000Z
- Category: macro · region US · magnitude low
- Page: https://feedsoft.ai/events/67168-why-a-weak-dollar-may-be-a-sign-of-long-term-pessimism-marketwatch
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Euro (USD per EUR)](https://feedsoft.ai/c/EURUSD.md)

## Why it matters

A weak dollar supports US commodity export competitiveness and tends to lift dollar-priced grains, oilseeds and crude. The unexplained divergence from yields adds uncertainty for currency-driven feed price forecasts.

## Read by commodity

- DXY: bearish ▼
- EURUSD: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2020-12-01 | [Why the U.S. dollar is trading at a 2 1/2-year low - MarketWatch](https://feedsoft.ai/events/49845-why-the-u-s-dollar-is-trading-at-a-2-1-2-year-low-marketwatch.md) | -1.2% | -1.7% |
| DXY | 2018-11-05 | [Dollar slips ahead of midterm vote; sterling up on Brexit deal report - MarketWatch](https://feedsoft.ai/events/62303-dollar-slips-ahead-of-midterm-vote-sterling-up-on-brexit-deal-report-marketwatch.md) | +0.7% | +0.3% |
| DXY | 2017-12-15 | [Here’s what’s threatening the dollar in 2018 - MarketWatch](https://feedsoft.ai/events/67696-here-s-what-s-threatening-the-dollar-in-2018-marketwatch.md) | -0.2% | -2.5% |
| DXY | 2017-05-30 | [‘Euro-dollar parity is dead,’ say analysts - MarketWatch](https://feedsoft.ai/events/71214-euro-dollar-parity-is-dead-say-analysts-marketwatch.md) | -0.4% | -0.6% |
| DXY | 2023-04-04 | [Dollar slumps after weak data, markets bet Fed nears end of hiking cycle](https://feedsoft.ai/events/36647-dollar-slumps-after-weak-data-markets-bet-fed-nears-end-of-hiking-cycle.md) | +0.4% | +0.1% |
| EURUSD | 2020-12-01 | [Why the U.S. dollar is trading at a 2 1/2-year low - MarketWatch](https://feedsoft.ai/events/49845-why-the-u-s-dollar-is-trading-at-a-2-1-2-year-low-marketwatch.md) | +1.6% | +2.8% |
| EURUSD | 2017-05-30 | [‘Euro-dollar parity is dead,’ say analysts - MarketWatch](https://feedsoft.ai/events/71214-euro-dollar-parity-is-dead-say-analysts-marketwatch.md) | +0.7% | +0.2% |
| EURUSD | 2017-07-31 | [Euro charges to 2 1/2-year high as dollar slumps - MarketWatch](https://feedsoft.ai/events/70183-euro-charges-to-2-1-2-year-high-as-dollar-slumps-marketwatch.md) | 0.0% | +1.0% |

## Sources

- marketwatch.com: https://www.marketwatch.com/story/why-a-weak-dollar-may-be-a-sign-of-long-term-pessimism-2018-01-04

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