The USD Index gained close to 7% during the calendar year 2018. Considering that the EUR/USD has a 57.6% weighting in the Index, it’s not surprising that single currency lost over 6% versus the Greenback during the same period of time. Forex traders were drawn to the USD as the US Federal Reserve (FED) raised the FED Funds target by 100 basis points last year and gave forward guidance for more tightening into 2019. Furthermore, while the European Central Bank (ECB) added €600 billion to their balance sheet last year, the FED drained $400 billion from the global banking system. This divergence in monetary policy ... (full story)