The average monthly value for the trade-weighted dollar index of 15 major currencies tracked by the Federal Reserve Bank of Atlanta fell 1.3 percent in July—its sixth consecutive monthly decline. The dollar posted the biggest loss against the Europe subindex, dropping 2.3 percent in July. The Americas subindex fell 1.1 percent, followed by a 0.9 percent decline in the Pacific measure and a 0.8 percent drop in the Pacific-excluding-Japan subindex. The classic subindex, which is the analogue of the original Atlanta index, was down 1.4 percent in July. The overall index was 4.1 percent below its year-ago level. On a daily basis, the overall index declined 0.8 percent from the end of June to the end of July and was down 3.5 percent from its value at the end of July 2006.
The Atlanta Fed index is based on 1995–97 bilateral trade weights for 15 currencies. The European subindex includes the European Monetary Union, Switzerland and the United Kingdom. The Pacific subindex includes Australia, China, Hong Kong, Japan, Malaysia, Singapore, South Korea and Taiwan. The Americas subindex includes Brazil, Canada and Mexico. The overall dollar index includes the Saudi Arabian riyal along with the foregoing 14 currencies. The classic subindex includes the European Monetary Union, Switzerland, the United Kingdom, Australia, China, Hong Kong, Japan, Singapore, South Korea, Taiwan, Saudi Arabia and Canada. All figures are indexes and not actual exchange rates. A rise in the index or subindex reflects a strengthening of the dollar against currencies included.
|ATLANTA FED DOLLAR INDEXES: AUGUST 2007 UPDATE
(1995 = 100)
Based on 1995–97 bilateral trade weights for 15 currencies. Technical details of country selection, weighting and index construction are available in the June/July 1986, Summer 1987, September/October 1990 and Third Quarter 1999 issues of the Atlanta Fed's Economic Review.