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After a strong showing for most of the year 2022, the value of the U.S. dollar took a downward spin beginning in November of 2022, a downward move that has continued on through January 2023.
The value of the U.S. dollar, in the accompanying chart, hit a peak on November 11, 2022, at 128.4, and then has declined until the present closing on January 27, 2023, at 119.5.
The general feeling is that the dollar will continue to move lower as 2023 progresses.
The story is one of relative efforts and relative values.
Following the disruption created by the spread of the Covid-19 pandemic in 2020, the United States economy seemed to be better off economically than almost anyone else and this allowed the Federal Reserve System to follow a path that seemed “less loose” than any of the other major central banks throughout the world.