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Currency in sentence

4390 examples of Currency in a sentence

But, because numerous countries employed the same tactics in an environment in which a broad array of capital controls was in place and official exchange rates were pegged to the US dollar, a parallel currency market flourished.
Parallel currency markets, mostly for dollars, are back.
During the bonanza years, avoiding or leaning against currency appreciation was probably the major challenge that many central banks faced.
In that heady environment, some countries went further and adopted (once again) a policy of pegging their currency to the dollar.
For countries that had embraced more flexible exchange rates – Russia, Brazil, and Colombia, among many others – the initial reversal of oil and primary commodity prices ushered in a wave of currency crashes, while those that maintained more rigid exchange-rate arrangements experienced rapid reserve losses.
Because the price slump has persisted, by 2015 capital controls were being tightened and currency pegs were being adjusted or abandoned.
Fining, threatening, or even jailing informal currency traders have not been particularly successful.
After all, in the past, increases and decreases in the growth rate of the monetary base (currency in circulation plus commercial banks’ reserves held at the central bank) produced – or at least were accompanied by – rises and falls in the inflation rate.
For its part, Germany exacts austerity as the price of its participation in the single currency.
The problem is that it can’t, even with a depreciating currency.
But the revaluation is likely to be a one-time affair and the free floating of the renminbi is probably not real because a stable currency is very much in China’s interest.
Short-term exchange-rate movements are no way to judge a currency’s underlying strength.
To be sure, a country that issues an internationally favored currency can generally exert influence over others, and has a distinct economic advantage.
The dollar’s status as the dominant international reserve currency amounts to what former French President Valéry Giscard d’Estaing famously described as America’s “exorbitant privilege.”
No other currency can yet challenge the dollar as an investment medium or reserve asset, nor can other countries match America’s extraordinarily efficient financial markets, which provide unparalleled liquidity.
But fiscal stimulus is constrained within the eurozone, where member countries no longer issue their own currency and “sovereign” debt therefore carries a default risk.
Aggressive monetary expansion through quantitative easing is also far more complicated and politically contentious in a currency area with no federal debt for the central bank to buy.
Large capital inflows led to overheating and inflation, asset-price bubbles, and rapid currency appreciation.
Then, the Fed’s tapering of QE led to the sudden withdrawal of that capital, creating a risk of financial disruption and currency crises.
Historical evidence, not to mention Japan’s experience with a falling yen, suggests that it takes several quarters, or even years, before the positive impact of currency depreciation on net exports is felt.
But is China really to blame for the eruption of a global currency war?
Congress has authorized the President to impose import duties on Chinese products if China remains unwilling to increase the value of its currency substantially against the dollar.
In reality, while currency movements can have a significant impact on inflation in other countries, dollar movements have rarely had a meaningful or durable impact on prices in the US.
Despite this imbalance, the US dollar’s dominance as an invoicing currency is unlikely to change anytime soon – not least because bringing about a shift would require coordination among a huge number of exporters and importers worldwide.
The euro might seem like a strong contender, given the volume of trade among eurozone countries; but, outside Europe, the currency is not used nearly as widely as the dollar.
In the 1960’s, the British pound was the world’s second reserve currency.
It was an extraordinary demonstration not only of how difficult European leaders found coordinating their response to the crisis to be, but also of the strategic importance of a second reserve currency for the largest reserve currency.
The 1960’s analogy raises the question of whether and when a new major international currency could emerge.
Within the space of a few years, the pound’s reign as a trusted international currency was over.
During the immediate postwar occupation, US military planners had to impose new currency regimes and central banking institutions.
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