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Open Access Journal Article

Foreign Exchange Market Dynamics

by Daniel Jackson 1
1
Daniel Jackson
*
Author to whom correspondence should be addressed.
EFRL  2022 4(1):26; https://doi.org/10.69610/j.efrl.20220212
Received: 6 January 2022 / Accepted: 19 January 2022 / Published Online: 12 February 2022
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Abstract

The foreign exchange (FX) market, often referred to as the largest and most liquid financial market in the world, is characterized by complex dynamics driven by various economic, political, and social factors. This paper delves into the intricate mechanisms that govern the dynamics of the FX market, examining both the micro and macro perspectives. It discusses how currency exchange rates are determined, influenced by factors such as interest rates, inflation, trade balances, and investor sentiment. Additionally, the paper explores the role of central banks, financial institutions, and electronic trading platforms in shaping the market's behavior. The analysis further investigates the impact of emerging market currencies on the global FX landscape, as well as the implications of technological advancements and regulatory changes. Through a comprehensive examination of these dynamics, the paper aims to provide insights into the complexities of the FX market and contribute to a deeper understanding of its role in global finance.

Keywords: Foreign Exchange Market; Currency Exchange Rates; Economic Factors; Financial Institutions; Market Dynamics.;
Copyright: © 2022 by Jackson. This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY) (Creative Commons Attribution 4.0 International License). The use, distribution or reproduction in other forums is permitted, provided the original author(s) or licensor are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms.
Cite This Paper
APA Style
Jackson, D. (2022). Foreign Exchange Market Dynamics. Economics and Finance Research Letters, 4(1), 26. doi:10.69610/j.efrl.20220212
ACS Style
Jackson, D. Foreign Exchange Market Dynamics. Economics and Finance Research Letters, 2022, 4, 26. doi:10.69610/j.efrl.20220212
AMA Style
Jackson D. Foreign Exchange Market Dynamics. Economics and Finance Research Letters; 2022, 4(1):26. doi:10.69610/j.efrl.20220212
Chicago/Turabian Style
Jackson, Daniel 2022. "Foreign Exchange Market Dynamics" Economics and Finance Research Letters 4, no.1:26. doi:10.69610/j.efrl.20220212

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ACS Style
Jackson, D. Foreign Exchange Market Dynamics. Economics and Finance Research Letters, 2022, 4, 26. doi:10.69610/j.efrl.20220212
AMA Style
Jackson D. Foreign Exchange Market Dynamics. Economics and Finance Research Letters; 2022, 4(1):26. doi:10.69610/j.efrl.20220212
Chicago/Turabian Style
Jackson, Daniel 2022. "Foreign Exchange Market Dynamics" Economics and Finance Research Letters 4, no.1:26. doi:10.69610/j.efrl.20220212
APA style
Jackson, D. (2022). Foreign Exchange Market Dynamics. Economics and Finance Research Letters, 4(1), 26. doi:10.69610/j.efrl.20220212

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