Close Navigation
Learn more about IBKR accounts

Currency Manipulation

Trading Term

Currency manipulation occurs when a country intentionally alters the value of its currency to gain an economic advantage. This practice can impact global trade by making exports cheaper and imports more expensive. For instance, if a country devalues its currency, its goods become more competitive internationally, potentially boosting its economy. However, this can lead to trade imbalances and tensions, prompting other nations to impose tariffs as a countermeasure. Investors must consider currency manipulation when assessing international markets, as it can affect exchange rates and investment returns.

IBKR Campus Newsletters

This website uses cookies to collect usage information in order to offer a better browsing experience. By browsing this site or by clicking on the "ACCEPT COOKIES" button you accept our Cookie Policy.