How Interest Rate And Inflation Affect The Market

currency derivatives

Interest Rate and inflation are two major driving forces of any economy. In this video we have tried to explain this complex topic in simple way. Normally, every trader should care about the rising inflation and monetary policy.

Effect on interest rate changes on Stock Market, Bonds and Forex

Interest rate is a major market mover. The trading day is very volatile when interest rate data is released. It affects stocks, forex, bond and derivative contracts.

Normally, when interest rate is increased stock market goes down ( there are exceptions), Bond prices goes down, Currency Appreciates and derivative contracts become costly.

If we can use this data effectively to trade, it’ll make good profits on market moves. Watch the video and share your feedback in the comment box.


Conclusion & Resources

Economic Analysis is a part of fundamental analysis in our course. I strongly, recommend you that you should only trade in super vision of an experienced faculty or trader. You can visit and economic data.