The USDX

[Largesse]

Can someone explain to me why the swedish krona is a component in this index?

seems a tad odd and im having trouble finding an justification for it on the internet


thanks in advance

 

[Timmy]

The USDX seems to be a bit of an anachronism, started in 1973 at a base of 100 and only adjusted once since.

The justification for including the SEK is that while Sweden is not a major trading partner of the US when compared to a country such as China or Mexico its currency floats and is one of the world's major trading currencies.

So the basis for inclusion in the USDX is:
Country is an important trading partner
AND
Country's currency floats & is a major trading currency.
(IMHO of course)

Hence the inclusion of the SEK.

 

[Naked shorts]

The market gods made the USDX that way because the hottest girls are from Sweeden.. Duuuhh