XE Market Analysis: North America – Dec 31, 2020

The DXY dollar index has posted another major-trend low, at 89.52, a level last traded in April 2018. The dollar has continued to correlate inversely with global stock market direction, with weakness today being concomitant with the MSCI Asia Pacific rising to a new record high in holiday-thinned conditions. The DJIA yesterday closed at a fresh record on Wall Street. European markets declined, however, while oil and other commodities have remained directionally subdued. EUR-USD remained buoyant on dollar weakness, although remained just off from yesterday’s near-33-month peak.