Dollar Index: Goldman Analysts and Investment Strategist

dollar index: Subsequently, borrowing costs as measured by corporate credit spreads rose as the yield premium demanded by investors to hold corporate debt over U.S. Treasurys widened, according to Market Watch. Global equities sold off sharply in January of 2016, with many experts predicting an impending recession at the time. From mid-2014 to the end of 2015, a 25% rise in the dollar index in anticipation of tighter monetary policy translated into a 2% tightening in financial conditions a range of financial variables that influence economic behavior, according to analysts at Goldman Sachs. In fact, Goldman analysts as late as in November were concerned that tighter conditions wouldnt allow the Fed to raise rates in December of this year. Liz Ann Sonders, chief investment strategist at Charles Schwab & Co, so far doesnt think that financial conditions will deteriorate the way they did a year ago. This year, the ICE U.S. dollar index DXY, -0.28% a measure of the U.S. unit against a basket of six major rivals, appreciated about 4%. The dollar index is sitting near a 14-year high, following the currency appreciation against the euro, pound, the yen and virtually all emerging market currencies. (news.financializer.com). As reported in the news.