Issue by Sebastian: Why does the greenback go down when equities go up?
Is it simply because the money has to come out of the currency market, reducing it is value, to go into the equity market place?
Very best answer:
Reply by JoeyV
In basic it isn’t going to. The current thinking is that USD is a protected haven from risk. That signifies that when the world decides to get on chance, equities go up USD goes down. When the world decides that we never like danger, equities down, USD up. Chance-on/Chance-off.
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