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How are caclulated foreign currency exchange rates?

May 4th, 2011 admin

Question by Mick: How are caclulated foreign currency exchange rates?
Just asking yourself why the crisis in the US is getting worse and the value of the dollar on foreign exchange is going up. Something stinks in the state of Denmark.
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Who creates foreign exchange rates? Please be particular. Thanks
I do understand that demand and provide figure out it. Just questioning demand and supplly from who! And who sets the final ratio.

Very best answer:

Answer by Ryan H
As the worth of issues in America go down, foreign nations search to acquire up American exports

this drives demand for dollars, which in turn increases the value of the dollar

Know much better? Leave your personal answer in the comments!

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  1. ben32167
    May 4th, 2011 at 07:55 | #1

    prices occurs at the exchange market where big quantities of currencies are exchanged. demand and supply determines the value.

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