[{"data":1,"prerenderedAt":58},["ShallowReactive",2],{"term:exchange-rate":3},{"term":4,"related":45},{"id":5,"title":6,"body":7,"category":27,"description":28,"extension":29,"faq":30,"meta":31,"navigation":32,"path":33,"related":34,"seo":38,"stem":39,"takeaways":40,"__hash__":44},"terms\u002Fterms\u002Fexchange-rate.md","Exchange Rate",{"type":8,"value":9,"toc":22},"minimark",[10,15,19],[11,12,14],"h2",{"id":13},"understanding-exchange-rate","Understanding Exchange Rate",[16,17,18],"p",{},"An exchange rate tells you how much of one currency you need to buy a unit of another. Most major currencies float, with rates set by supply and demand in currency markets.",[16,20,21],{},"When a currency appreciates, imports get cheaper and exports get more expensive for foreign buyers. Interest rates, inflation, growth, and investor risk appetite all move exchange rates.",{"title":23,"searchDepth":24,"depth":24,"links":25},"",2,[26],{"id":13,"depth":24,"text":14},"economy","The price of one currency expressed in another.","md",[],{},true,"\u002Fterms\u002Fexchange-rate",[35,36,37],"purchasing-power-parity","trade-deficit","interest-rate",{"title":6,"description":28},"terms\u002Fexchange-rate",[41,42,43],"An exchange rate is the price of one currency in another.","Appreciation makes imports cheaper and exports dearer.","Interest rate differences are a major driver.","xtr7qGqyuVkjDnQ0FgCjzGCCR99NIEvrLeaVjDj_Y7o",[46,50,54],{"title":47,"description":48,"path":49},"Interest Rate","The cost of borrowing money, or the return for lending it, as a percentage per year.","\u002Fterms\u002Finterest-rate",{"title":51,"description":52,"path":53},"Purchasing Power Parity (PPP)","The idea that exchange rates should adjust so the same goods cost the same in different countries.","\u002Fterms\u002Fpurchasing-power-parity",{"title":55,"description":56,"path":57},"Trade Deficit","When a country imports more goods and services than it exports.","\u002Fterms\u002Ftrade-deficit",1793374005069]