What Are The Best-Performing Currencies In The Current Economic Climate?

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source: thenational

The forex market is renowned for its volatility and liquidity, but many people continue to overlook the impact of fluctuation in influential currencies such as the U.S. Dollar (USD).

Make no mistake; variations in the price of currencies like the greenback can have significant ramifications for developing and emerging economies, whilst the popularity of the US and similar entities also lend itself to constant price fluctuations during each, 24-hour trading period.

From a trading perspective, it’s important to understand these fluctuations and determine the best-performing currencies in the real-time economic climate. Here are the most lucrative currencies at present:

1. The USD

We’ll start with the greenback, which has enjoyed a steady if unspectacular 2019 and continues to perform consistently against stricken major currencies including the pound (GBP) and the Euro (EUR).

Oanda also reported that the USD/CAD has fared well of late, with the dollar making incremental gains throughout the third financial quarter against the backdrop of solid economic data.

Even when the USD has endured slight troughs and lost ground to some of its rivals, it has managed to rebound quickly thanks to a relatively robust economy, sustained hikes in the Federal Reserve rate (against the immobile European alternative) and a steady decline in the value of Chinese trade and the renminbi.

2. The Japanese Yen

Whilst the USD is expected to serve as something of a safe haven for traders during the Brexit fallout, it’s the Japanese Yen that remains a true sanctuary for risk-averse currency investors who are looking to earn consistent gains.

In recent years, the Japanese Yen (JPY) was strongest between 2010 and 2012, when it fluctuated between 75 and 85 per USD.

It has also enjoyed an exceptional 2019, having strengthened considerably since plunging to a weak 114 last October. It’s now hovering around the 108 marks and has remained steady during the last quarter, making it a currency that traders can rely on.

3. The Indian Rupee

We close with the Indian Rupee, which is being empowered by a huge population and a fast-growing economy that’s set to become the second biggest in the world by 2050.

The Indian Rupee started the year at 69.6 USD, and this represented a marked improvement from last year’s low of just 74 USD.

It subsequently improved to 71 USD in February, and since then has continued to perform consistently at a rate of around 68 USD.

This augurs well for the currency and forex traders as a whole, particularly with the Rupee currently undergoing a market correction in 2019 for its previous underperformance.

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