Foreign Currency Trading is a River of Money - How Forex Rates are Affected by Economics and Politic

There are indicators in every economy of how conditions in that country will affect their money. Domestic employment, imports and exports and changes in the interest rates all effect currency trading.

Interest rates are unique in their relationship with currency. As interest rates increase, foreign investment increases and the basic rules of economics apply to raise the value of the currency. Interest rates adjustments are somewhat predictable in their timing. They follow announcements or regular meetings of the world