In a mid-August Barchart article, I highlighted the bounce from the July dollar index low to over the 102 level. Over the past months, the index that measures the U.S. currency against the other world reserve foreign exchange instruments has risen to the 107 level. Bullish and bearish factors are pulling the dollar index in opposite directions, but the path of least resistance has been higher since the July 2023 low.
Interest rates support a higher dollar index
