Everything else remaining the same, in the foreign exchange market which of the following increases the supply of U.S.dollars?

Name: Everything else remaining the same, in the foreign exchange market which of the following increases the supply of U.S.dollars?
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Question

Quizplus · Accepted Answer

When the European interest rate rises, it becomes more attractive for investors to hold assets in euros rather than dollars, leading to an increase in the supply of U.S. dollars as investors exchange dollars for euros.

Everything Else Remaining the Same, in the Foreign Exchange Market