10CFDs’: The Connection Between Dollar rates and Commodities, will make the price of goods rise

PR Fire
PR Fire

Commodities are usually global assets, and being purchased from many countries around the world. When the American dollar gains value, it means that commodities become more expensive in other, non-dollar currencies. While this tends to have a negative influence on demand (when prices rise, the demand is naturally goes down), is also works the other way around: when the dollar weakens, commodity prices in other currencies drop lower, what will increase demand.

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