The U.S. Dollar Index (USDX) futures contract is a leading benchmark for the international value of the US dollar. It is the world’s most recognized currency index.
USDX lets traders monitor moves in the value of the US dollar, relative to a basket of the world’s currencies. The index enables traders to hedge their portfolios against the risk of a move in the dollar.US Dollar Index Futures Specs
You can see the contract specs of the US Dollar Index below:
US Dollar Index Futures (/DX) Specs:
Index Multiplier (leverage) - $1,000
Current Price - $97.00
Notional Value - $97,000* ($97 x $1,000)
Tick Size - .005 ($5/tick)
/DX can be traded 7pm - 4pm EST and opens Sunday night open is at 5pm CST.USDX Component Currencies
The US Dollar Index contains 6 different component currencies (with the weighting of the currency):
- Euro (57.6%)
- Japanese yen (13.6%)
- British pound (11.9%)
- Canadian dollar (9.1%)
- Swedish krona (4.2%)
- Swiss franc (3.6%)
These currencies were chosen to represent the USDX because those 6 currencies constitute the bulk of international trade with the United States.
You can catch part 2 this episode here.
Strategies: Butterfly Spread
Products Discussed In This Episode: /DX
*Values subject to change based on where the market is at