Every developed nation has a central bank that has a core duty to ensure currency stability and that the interest rates of their nations are correctly set.
Contrary to what you might think, central banks want to inform the market about their intentions. They do this in order to ensure that price remains stable and under control and so as to avoid large volatile swings in price.
A volatile currency is bad for domestic businesses as they import and export goods, so central banks release information in order to assist traders in pricing their currency.
The article will will explain when every trader should follow central bank policy and give a brief run down of the key central banks from the major nations, with links to their websites.
Why should every trader follow the central banks?
Do you as a trader follow what the central banks? Comment below.
Contrary to what you might think, central banks want to inform the market about their intentions. They do this in order to ensure that price remains stable and under control and so as to avoid large volatile swings in price.
A volatile currency is bad for domestic businesses as they import and export goods, so central banks release information in order to assist traders in pricing their currency.
The article will will explain when every trader should follow central bank policy and give a brief run down of the key central banks from the major nations, with links to their websites.
Why should every trader follow the central banks?
Do you as a trader follow what the central banks? Comment below.
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