Correlation of U.S. Dollar to Stock Market Over the last couple of months, there has been a particularly strong correlation of the stock market to the US dollar. When the stock market strengthens or weakens, the dollar does the opposite. During the month of May, the stock market dropped sharply. During the same time frame, the dollar strengthened significantly on all the major pairs except for the Japanese yen. The first half of June saw a jump in the stock market. During the same time, the dollar weakened against all […]