DXY (US Dollar Index)
A trade-weighted measure of the US dollar against a basket of major currencies. DXY is the master variable for global dollar funding conditions because non-US entities hold roughly half of the world's dollar-denominated debt. A strengthening DXY tightens conditions for those entities and propagates back into US markets through funding stress. DXY is the second pillar of the TBL Liquidity framework.
What DXY Is
A trade-weighted measure of the US dollar against a basket of major currencies. DXY is the master variable for global dollar funding conditions because non-US entities hold roughly half of the world's dollar-denominated debt. A strengthening DXY tightens conditions for those entities and propagates back into US markets through funding stress. DXY is the second pillar of the [TBL Liquidity framework](/learn/what-is-tbl-liquidity).
Where DXY Appears in TBL Research
DXY is one of the macro and liquidity indicators that TBL tracks. For how it fits the broader framework, see What Is TBL Liquidity?.
Related TBL Resources
What Is TBL Liquidity?
TBL Liquidity is a four-pillar composite framework that reads global financial conditions through Treasury volatility, the dollar, US Treasuries, and global banking assets, and translates them into a directional signal for Bitcoin, the S&P 500, and other risk assets.
TBL Glossary
Plain-English definitions for the macro, derivatives, on-chain, and TBL proprietary terms used across TBL's research. Each entry covers what the indicator measures and why it matters, conceptual form only, without proprietary formulas or live readings.
The indicators defined here are tracked live on TBL Pulse and interpreted in weekly written form in TBL Pro.