Nicola
Thu Aug 08 2024
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7 answers
1713
How does the foreign exchange market determine a currency's value?
Can you explain in detail how the foreign exchange market, often referred to as Forex or FX, determines the value of a currency? Specifically, what factors come into play and how do they interact to influence the exchange rate? Additionally, how do market participants, such as governments, banks, and individual traders, contribute to this process? I'm particularly interested in understanding the role of supply and demand in shaping currency valuations.
