Currency fluctuation

Currency fluctuation refers to the changes in the value of one country's money compared to another's over time. These changes happen because of factors like economic performance, interest rates, political stability, and market speculation. When a currency’s value rises, it can buy more foreign goods; when it falls, foreign goods become more expensive. These fluctuations impact international trade, travel, and investment, making some transactions more costly or profitable depending on the direction of the change. Essentially, currency fluctuation reflects the ongoing balance of supply and demand for each currency in global markets.