A solid dollar signifies a strong economy, reinforced by relatively stable growth in the U.S. compared to other countries. The U.S. dollar index is up 4% despite volatility, reflecting the greenback's comeback from previous peaks.
Higher U.S. interest rates, in contrast to other trading partners like Japan and Europe, attract foreign investors, boosting the dollar's value. The Federal Reserve's cautious approach towards cutting rates has further strengthened the dollar's position.
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