The U.S. dollar just dropped close to 10 percent this year. That is not normal market noise. It is a serious macro signal.
When the Dollar Index falls this hard, it affects everything. Not just forex. It changes global liquidity.
A weaker dollar makes financial conditions easier. Risk assets become more attractive. Capital moves out of cash and into assets with limited supply. This is why Bitcoin, gold, stocks, and commodities often rise when the dollar weakens.
This is not random.
Debt levels keep growing. Deficits are built into the system. Real interest rates stay under pressure. In that environment, a strong dollar becomes a problem, not an advantage.
Markets do not react instantly.
They adjust positions first.
The dollar is clearly signaling a shift.
• Purchasing power is fading
• Cash is losing its edge
• Scarce assets perform better over time
If the dollar continues to weaken, risk assets do not need excitement or narratives. They already have support.
The real question is simple.
Are you only watching price, or are you watching the currency behind it?
