Everyone understands that the US dollar today is not only the main currency of most international market transactions and the reserve currency of the world economy, but also a rather attractive object for investment, because on the exchange of the dollar for other both fiat and cryptocurrencies can earn good money. But how to predict the dynamics of the price of the American currency in order to pull a good deal? That's what we're going to talk about today.
U.S. GDP
Behind these two acronyms hides not only the main indicator for predicting changes in the price of the dollar in the international currency market, but also in principle the main characteristic, which should be monitored by every investor. And for the dollar are important not only absolute, but also relative figures, because the special position of "Franklins" is characterized primarily by a close relationship not only with the American, but also with the global economy.
Thus, it is not only a small drop in GDP or a strong decline in GDP, but also a sharp increase in the gross product of other countries compared to the GDP of the United States, which can indicate a fairly rapid collapse. That is, if tomorrow the gross product of the United States will remain at the same level in absolute numbers, that is about 20 trillion dollars, and as a percentage of its figure will fall by a few points, it will mean a rapid collapse and the American currency.
United States employment rate
Another incredibly important indicator for the U.S. dollar is the employment rate among members of American society. Particular attention should be paid to the number of jobs lost, acquired and, of course, their ratio. If the acquired jobs - more, means increase interest rates and the amount of foreign investment, which in turn will strengthen the rate and vice versa.
It is on the basis of employment indicators that many financiers often predict global crises, which usually start with the United States, for example, and so happened in 2008. Interestingly, there is a similar increase in unemployment and many are predicting a new economic crisis based on it.
Other important indicators
Also quite an important indicator is the industrial production index, which measures the activity of the industrial sector and its level of production. This indicator includes the manufacturing, mining, gas and electricity industries and its change makes it easy to predict the rise or fall of the dollar.
Another indicator worth paying attention to is the ratio of imports to exports. Of course, the United States has not seen a trade deficit for a long time, which may mean a clear drop in the exchange rate, but even a slight drop in exports in relation to imports can have a serious impact on the American rubles.