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US Dollar Index Rose, First Time since the Rate Hike

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US dollar rose by 0.11%

The US Dollar Index measures the strength of the US dollar against the major currencies. It rose as the domestic data came out on a mixed note on December 23, 2015. The US Dollar Index has been on a negative trend since the FOMC (Federal Open Market Committee) rate hike on December 17. The US Dollar Index reached a high of 98.60 before falling towards the end of the day. It closed at 98.34 towards the end of the day.

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Domestic data came out on a mixed note

The U.S. Census Bureau published the durable goods orders for November on December 23, 2015. The core durable goods order fell by 0.1%—compared to expectations of a 0.1% rise. New home sales posted a rise of 490,000—compared the expectations of a rise of 507,000. On the same day, the BEA (Bureau of Economic Analysis) published the personal income data. It rose by 0.3%. Among other positive data, the University of Michigan published the consumer sentiment data. It rose to a five-month high of 92.6. It also helped the US dollar rise for the day.

Impact on the market

Regarding ETFs, the PowerShares DB US Dollar Bullish ETF (UUP) rose by 0.16% on December 23, 2015. Also, the WisdomTree Bloomberg US Dollar Bullish Fund ETF (USDU) encompasses developed economies and emerging market currencies. It rose by 0.15%.

The banking ADRs (American depositary receipts) were trading on a positive note on December 23, 2015. JPMorgan Chase (JPM) rose by 1.6%. Citigroup (C) rose by 1.2%. Wells Fargo (WFC) followed a similar trajectory. It rose by 1.3% for the day.

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