Looking ahead, strategists argue that the U.S. dollar could continue to weaken unless the economy shows significant strength, along with higher interest rates.
Investors who are pessimistic about the dollar’s outlook can take a bearish stance on the currency with the PowerShares DB US Dollar Index Bearish Fund (NYSEArca: UDN), which tracks the inverse, or short, performance of the U.S. dollar against the same basket of six major currencies. UDN is up 1.4% year-to-date and up 4.2% over the past year.
PowerShares DB US Dollar Index Bullish Fund
For more information on the USD, visit our U.S. dollar category.