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Quantitative tightening
What is the Effect of Quantitative Tightening on Currency Values?
November 20, 2023
How does quantitative tightening impact the foreign exchange market?
Quantitative tightening, involving a reduction in monetary stimulus by central banks, can impact the foreign exchange market. Tightening measures, such as reducing asset purchases or increasing interest rates, may strengthen a currency by signaling economic strength and attracting investors seeking higher returns.
Tags : Quantitative Tightening , Currency Values , Foreign Exchange Market