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The dollar is the world's reserve currency, which means it is the foreign exchange instruments that most central banks hold in their reserves. The euro is the second choice when it comes to the currency, central banks around the world hold.
A reserve currency reflects economic stability and is freely convertible, offering liquidity. The dollar index reflects the value of the US currency against a group of other leading world currencies. The composition of the index includes a 57.6% exposure to the euro. The dollar index reached a low of 88.15 in February 2018 after