Date: August 14, 2017
More specifically, two primary factors that affect supply and demand are
– Interest Rates, usually set by central bank. Increasing or decreasing interest rate is always the top focus of currency traders. The higher the interest rate, the more valuable the currency would be.
– The Fundamental indicators of the originating country’s economy as a whole. such as foreign investment, PPI, CPI, GDP, and the trade balance, echo the overall health of the economy, and alter the supply and demand for that currency. The stronger the economy, the more valuable the currency would be.
