If US interest rate increases, the foreign exchange rate of US dollars will increase.

Name: If US interest rate increases, the foreign exchange rate of US dollars will increase.
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Question

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When US interest rates increase, it typically leads to a higher demand for US dollars because investors seek the higher returns available from US assets, thus increasing the value of the US dollar relative to other currencies in the foreign exchange market.

If US Interest Rate Increases, the Foreign Exchange Rate of US