As of December 23, 2025, the U.S. Dollar Index (DXY) has fallen to approximately 97.85, marking its lowest level since early October. This slide reflects a broader trend, with the greenback on track for its steepest annual decline since 2017, falling roughly 10% this year.

The decline is driven by a cooling labor market and November’s 2.7% CPI print, fueling expectations for Federal Reserve rate cuts in early 2026. Simultaneously, a resurgent Japanese yen and rising geopolitical tensions have pressured the currency further. Investors can track real-time fluctuations via the MarketWatch Dollar Index as the market pivots toward a more dovish outlook for the U.S. economy#CPIWatch #USJobsData #WriteToEarnUpgrade #Economy