Christian Holm's Blog – July 2019 Archive (1)

An exchange rate is the rate at which one currency is exchange for a foreign currency. Exchange rates are stated in pairs of currencies between two nations. A domestic currency is said to appreciate against a foreign currency when one unit of domestic currency buys more units of a foreign currency. Likewise, a domestic currency is said to depreciate against a foreign currency if one unit of domestic currency buys few units of a foreign currency. Here we are defining these main points in our…