Core Insights - The relationship between the US dollar and the Chicago Board Options Exchange Volatility Index (VIX) is becoming increasingly significant, overshadowing the traditional focus on the dollar's correlation with the S&P 500 index [1] - Historically, the dollar has shown a positive correlation with the VIX, indicating that as stock market volatility increases, the dollar tends to strengthen [1] - This correlation has reversed in early 2023, suggesting that rising panic in the US stock market may lead to a decline in the dollar [1] Group 1 - Goldman Sachs strategists highlight the importance of the dollar's relationship with the VIX, stating that focusing solely on the dollar's relationship with the S&P 500 may obscure its inherent vulnerabilities [1] - The decline in the dollar's attractiveness is becoming more evident in its correlation with the VIX, despite recent trends appearing more "normal" [1]