The American dollar index has fallen below 97: the market discusses currency interventions

The US Dollar Index (DXY) fell below the 97 level during trading, reaching a low not seen since September of the previous year. This movement has sparked active discussions among market participants about the possibility of coordinated intervention by Washington in Japan’s efforts to support the national currency.

According to ChainCatcher, the weakening of the US index raises concerns among investors about the preservation of the dollar’s status as the global reserve currency. Experts believe that such movements reflect increasing pressure on the US currency’s position in global markets.

Daniel Baeza, head of strategic analysis at Frontclear, emphasized that signs of coordinated actions by central banks could amplify short-term fluctuations in the dollar’s exchange rate. The analyst noted that if the Federal Reserve adopts a passive stance, it could create additional pressure on the index in the near future. Thus, political synchronization between countries becomes a key factor in determining volatility in the currency market.