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What determines supply and demand in the foreign-exchange market?

Updated: 8/23/2023
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EncofBizandFinance

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13y ago

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Supply and demand in the foreign-exchange market are determined by changes in many market variables, including relative price levels, real interest rates, productivity, product preferences, and perceptions of economic stability.

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13y ago
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Wiki User

13y ago

The demand for and supply of foreign-exchange determine the equilibrium foreign exchange rate.

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Q: What determines supply and demand in the foreign-exchange market?
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