The average monthly value for the trade-weighted dollar index of 15 major currencies tracked by the Federal Reserve Bank of Atlanta increased 1.4 percent in December from the previous month, marking its first appreciation since September. The dollar rose against all major subindexes, posting the greatest gain against the Americas subindex, increasing 2.3 percent in December. The European subindex expanded 1.3 percent, followed by 0.7 and 0.2 percent increases in the Pacific and Pacific-excluding-Japan subindexes, respectively. The classic subindex, which is the analogue of the original Atlanta index, was up 1.7 percent. Despite the recent appreciation, however, the overall monthly index was still 6.8 percent below its year-ago level. On a daily basis, the overall index was up 0.1 percent from the end of November to the end of December but remained 7.7 percent below its value at the end of December 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: JANUARY 2008 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.