US dollar index sees biggest annual fall since 2017

The US dollar index saw sustained selling pressure last year. The index ended 2025 with its biggest annual drop since 2017, losing around 9.5%. Factors driving the downturn include potential Federal Reserve interest rate cuts, fiscal concerns, and ongoing political pressures from the Trump administration. The euro and British pound saw their strongest yearly gains in eight years, with the euro rising 13.5% and the pound soaring nearly 7.5%.

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