The dollar index (DXY00) today is up by +0.12%. The dollar is climbing today on weakness in the yen, which fell to a 9.25-month low against the dollar today on concerns the Japanese government will pursue a more expansionary fiscal policy. Gains in the dollar are limited, as today's stock strength has reduced liquidity demand for the dollar.
The dollar is also under pressure amid signs that a resolution to the US government shutdown is nearing. After the Senate voted 60-40 on Monday to pass a temporary continuing resolution (CR) to fund the government, the House is expected to vote on the measure later today, and if approved, the bill goes to President Trump, who said he will sign it into law. The reopening of the government would allow the release of economic reports, which may show a weakening US economy, prompting the Fed to keep cutting interest rates.
