Nominal Advanced Foreign Economies U.S. Dollar Index

Index Jan 2006=100, Monthly

TWEXAFEGSMTH • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

111.07

Year-over-Year Change

-4.91%

Date Range

1/1/2006 - 7/1/2025

Summary

This index tracks the Federal Reserve's trade-weighted exchange rate for advanced foreign economies on a monthly basis. It provides critical insights into the relative strength of the U.S. dollar against major developed economies' currencies.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

The index represents a broad measure of U.S. dollar valuation across advanced economies, reflecting international trade competitiveness and monetary policy implications. Economists use this metric to understand currency dynamics, international trade potential, and global economic interactions.

Methodology

The Federal Reserve calculates this index by weighting bilateral exchange rates based on each country's share of U.S. trade in advanced economies.

Historical Context

Policymakers and central bankers use this index to assess U.S. economic performance, inform monetary policy decisions, and evaluate international trade competitiveness.

Key Facts

  • Base period for the index is January 2006, set at 100
  • Covers exchange rates with advanced foreign economies
  • Updated monthly by the Federal Reserve

FAQs

Q: What does this index measure?

A: It measures the U.S. dollar's value against currencies of major developed economies, weighted by their trade significance.

Q: How is the index calculated?

A: The index is calculated by weighting bilateral exchange rates based on each country's share of U.S. trade in advanced economies.

Q: Why is this index important?

A: It provides insights into U.S. dollar strength, international trade competitiveness, and potential economic policy implications.

Q: How often is the data updated?

A: The index is updated monthly by the Federal Reserve, providing current information on currency valuations.

Q: What does a rising index value indicate?

A: A rising index suggests the U.S. dollar is strengthening relative to other advanced economies' currencies.

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Citation

U.S. Federal Reserve, Index Jan 2006=100, Monthly [TWEXAFEGSMTH], retrieved from FRED.

Last Checked: 8/1/2025