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Welcome to aFXts.com – The purpose of this site is to highlight micro and macroeconomic affects given fluctuations in foreign exchange rates through news, media, publication and individual sources. Throughout history there have been numerous breakdowns within financial institutions around the globe that have often led to cascading debris cluttering the world’s economy. The financial crisis of 2008 was no exception. Therefore, being the most recent ripple in the incredibly delicate yet extremely powerful financial system, it is vital to explore, understand and question the events that took place to prepare for the inevitable future. Summary of 2008 Crisis Events – http://www.sourcewatch.org/index.php?title=Summary_of_Origins_of_Financial_Crisis_2008 [1] As impactful as the 2008 financial quake was and in many respects still is; sudden shifts in foreign exchange rates have a potential to be equally damaging. Currency crisis can be categorized as a probable and formulaic enigma in the sense that despite its absolute unpredictability, it is based on mathematical outcomes relating to the collective macro environment.
To give further explination to the concept - "A currency crisis, which is also called a balance-of-payments crisis, is a speculative attack in the foreign exchange market. It occurs when the value of a currency changes quickly, undermining its ability to serve as a medium of exchange or a store of value. Currency crises usually affect fixed exchange rate regimes, rather than floating regimes. A currency crisis is a type of financial crisis, and is often associated with a real economic crisis. Currency crises can be especially destructive to small open economies or bigger, but not sufficiently stable ones. Governments often take on the role of fending off such attacks by satisfying the excess demand for a given currency using the country's own currency reserves or its foreign reserves (usually in the United States dollar, Euro or Pound sterling). Recessions attributed to currency crises include the 1994 economic crisis in Mexico, 1997 Asian Financial Crisis, 1998 Russian financial crisis, and the Argentine economic crisis (1999-2002)." [4]
Foreign Exchange Rates 3-22-11
Solution by TeleTrader Data Source: InteractiveData About These RatesMore than 1,000 currency rates are divided into 13 regions. The data directly comes from big interbank liquidity providers such as ABN Amro, Abbey National Bank, JP Morgan Chase, Zurcher Kantonal Bank, UBS Investment Bank, Westpac and many more. This is the tool for those who want to know exactly what is going on all over the world in currency fluctuations.[2] |