The impact of credit rating agencies on the exchange rate

2023/2/26 7:15:05  read(2)

Credit best forex copy trading forextradingsignal, with the help of many investors rely on and trust their capital, by adjusting the rating of sovereign debt, can influence investors views on a countrys economy, thereby controlling the countrys howtocopyforextrading rate up or down, and each of its rating adjustments have touched the nerves of foreign exchange speculators Originally, this was not among the classic factors affecting the exchange rate, but recent events have made me think that the foreign exchange cashback forex and The stock market can not ignore the impact of rating agencies on the exchange rate, especially the short-term impact on the exchange rate Wall Streets three major rating agencies Standard & Poors, Moodys, Fitch three rating agencies credit rating whether in the stock market, or foreign exchange market are able to turn their hands for the clouds, the hand for the rain for a long time three rating agencies to establish the credibility of the bond rating, so that many investors are to their rating as the investment Once they adjust the rating of a certain bond or stock, it will have a very big role in determining the attitude of the entire capital market toward the bond or stock. It is the influence of the three major rating agencies on the capital market that allows them to have an important impact on the foreign exchange market. This means that the countrys currency has a very big risk, risk for the capital market means escape, in the absence of sufficient attractiveness means escape, so a countrys currency will face a sell-off, the countrys exchange rate against other countries currencies will certainly go all the way down, every time the three major rating agencies adjust the rating of the countrys bonds, will have a very obvious impact on the The most obvious example is the Greek financial crisis, when the three major rating agencies downgraded the rating of Greek bonds, each time will seriously depress the euro Although the ratings of the three major rating agencies are based on the data of their respective data analysis methods for rating, the results and market judgment results are usually similar, but out of the market investors trust and confidence in the three major rating agencies, each time the rating agencies change the rating of the three major rating agencies. Therefore, if you speculate in foreign exchange, then you definitely need to pay attention to the ratings of the three major rating agencies on the bonds of various countries, the main thing is to see what changes, if you can grasp it well, each time there are at least hundreds of points of the market