^DXY vs. TLT

Last updated Jun 5, 2026

^DXY (US Dollar Currency Index) is an index, while TLT (iShares 20+ Year Treasury Bond ETF) is Government Bonds fund tracking the ICE U.S. Treasury 20+ Year Bond Index. At a correlation of -0.11, they often move in opposite directions.

Performance

^DXY vs. TLT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in US Dollar Currency Index (^DXY) and iShares 20+ Year Treasury Bond ETF (TLT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

^DXY

• 1D: —
• 1M: —
• 6M: —
• YTD: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

TLT

• 1D: -0.59%
• 1M: -1.74%
• 6M: -2.05%
• YTD: -1.48%
• 1Y: 2.34%
• 3Y*: -2.07%
• 5Y*: -7.47%
• 10Y*: -2.17%

*Multi-year figures are annualized to reflect compound growth (CAGR)

^DXY vs. TLT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
^DXY US Dollar Currency Index	1.13%	-9.37%	7.06%	-2.11%	7.87%	6.71%	-6.69%	0.22%	4.40%	-9.87%
TLT iShares 20+ Year Treasury Bond ETF	-1.48%	4.25%	-8.05%	2.77%	-31.23%	-4.60%	18.15%	14.12%	-1.61%	9.18%

Correlation

The correlation between ^DXY and TLT is -0.33, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.33
Correlation (3Y) Calculated over the trailing 3-year period	-0.33
Correlation (5Y) Calculated over the trailing 5-year period	-0.24
Correlation (10Y) Calculated over the trailing 10-year period	-0.18
Correlation (All Time) Calculated using the full available price history since Jul 26, 2002	-0.11

Over the past year, the inverse relationship between ^DXY and TLT has strengthened: their correlation has moved from -0.11 to -0.33, meaning they now move in opposite directions more often than their long-term average.

Return for Risk

^DXY vs. TLT — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

^DXY

^DXY Risk / Return Rank: 17
^DXY Sharpe Ratio Rank: 18
^DXY Sortino Ratio Rank: 15
^DXY Omega Ratio Rank: 15
^DXY Calmar Ratio Rank: 19
^DXY Martin Ratio Rank: 19

TLT

TLT Risk / Return Rank: 13
TLT Sharpe Ratio Rank: 14
TLT Sortino Ratio Rank: 12
TLT Omega Ratio Rank: 12
TLT Calmar Ratio Rank: 13
TLT Martin Ratio Rank: 13

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

^DXY vs. TLT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for US Dollar Currency Index (^DXY) and iShares 20+ Year Treasury Bond ETF (TLT). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	^DXY	TLT	Difference
Sharpe ratio: Return per unit of total volatility	—	0.25	—
Sortino ratio: Return per unit of downside risk	—	0.43	—
Omega ratio: Gain probability vs. loss probability	—	1.05	—
Calmar ratio: Return relative to maximum drawdown	—	0.31	—
Martin ratio: Return relative to average drawdown	—	0.72	—

Drawdowns

Drawdown Indicators

	^DXY	TLT	Difference
Max Drawdown Largest peak-to-trough decline	—	-48.35%	—
Max Drawdown (1Y) Largest decline over 1 year	—	-7.58%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-18.88%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-43.70%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-48.35%	—
Current Drawdown Current decline from peak	—	-41.16%	—
Average Drawdown Average peak-to-trough decline	—	-13.93%	—
Ulcer Index Depth and duration of drawdowns from previous peaks	—	3.25%	—

Volatility

Volatility by Period

	^DXY	TLT	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	2.92%	—
Volatility (6M) Calculated over the trailing 6-month period	—	6.83%	—
Volatility (1Y) Calculated over the trailing 1-year period	—	9.40%	—
Volatility (5Y) Calculated over the trailing 5-year period, annualized	—	15.80%	—
Volatility (10Y) Calculated over the trailing 10-year period, annualized	—	14.84%	—

Frequently Asked Questions

Can I hold both ^DXY and TLT in my portfolio?

^DXY and TLT have a correlation of -0.33, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.