NEWS FUSE

Interest Rates
These are the single biggest driver of the value of the currency in the long run. Most central banks announce interest rates every month, and these decisions are very carefully monitored market participants. Interest rates are manipulated by central banks to control the money supply in an economy. If a central bank wants to increase the money supply reduces interest rates, and if you decrease the money supply raises interest rates.

Gross Domestic Product
GDP is the most important indicator of the economic health of a country. Central Bank of a country has waited growth prospects each year that determine how fast a country must grow, as measured by GDP. When GDP falls below market expectations, currency values ​​and tends to fall when GDP exceeds market expectations, currency values ​​tend to rise.

Inflation
Inflation destroys the real purchasing power of money, and, therefore, inflation is bad for the economy in most circumstances. Each year a normal rate of inflation between 2-3% is expected, but if inflation begins to move beyond the objectives set up by the Central Bank, the value of the currency actually increase due to the expectation of a imminent rate hike. Higher interest rates tend to fight inflation.

Unemployment
We will discuss the consumer demand at a time, but people are basically the driving economic growth, therefore, unemployment is the backbone of economic growth. When unemployment levels rise, has a devastating effect on economic growth and, consequently, when the labor market shrinks and unemployment rises, interest rates are often cut in an attempt to increase the money supply in the economy and stimulate economic growth.

Consumer Demand
As indicated in the previous point, people are what drive economic growth, and as a result, demand for healthy eating is essential for normal, healthy functioning of an economy. When consumers are demanding goods and services, the economy tends to move forward, but when consumers are demanding goods and services, the economy falters.

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