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RE: Currencies Trading

in #trading6 years ago

Exactly sir!
In addition countries use their foreign exchange reserves to keep the value of their currencies at a fixed rate and a good example is seen in China...the yuan to dollar exchange rate. When China stockpiles dollars, it raises the dollar value compared to that of the yuan. So therefore it makes Chinese exports cheaper than American-made goods, increasing sales.

Its obvious that foreign currencies are not used only for buying and selling*

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