The Forex market is the world’s biggest market.
It’s five times the size of the US futures market. Many factors impact the
currency market, the most important ones include interest rates, economic
growth, geopolitics, trade flows and capital flows, and mergers and
acquisitions. The central bank of every country sets the interest rate on the
currency, which means, any deviation in the interest rate affects the movement
of the currency. If the economy of a country is booming, the interest rate is
more likely to raise. The influence of geopolitics on currencies is large. The
capital flows is how much foreign investment a country attracts, and trade
flows is how much income a country brings in through trade. Some countries are
sensitive to trade flows while others are to capital flows. Cross-border
mergers and acquisitions activities, which are time sensitive, but aren’t price
sensitive, impact the currency movements to the largest extent.
FXPRL brings you the world of trading
possibilities as a leading and trusted Forex broker in the world. We offer
traders a solid platform to trade cross-assets with confidence. Visit our
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