How does economic news affect the Forex Market?

How Can We Help?

Search for answers or browse our knowledge base.

Documentation | Demos | Support

The forex market is ultimately driven by economic factors that impact the value and strength of a nation’s currency. Generally speaking, forex traders can look at economic news to assess its impact on interest rates and monetary policy​. News that suggests a more hawkish (aggressive) central bank tends to push forex pairs up in value relative to other currencies, while dovish (peaceful) news can cause a currency to depreciate.

Next How is Forex a decentralized market?
Table of Contents