Answer: A surprise change in inflation expectations
The financial crisis of 2007–2008 also known as the global financial crisis (GFC) was a severe worldwide financial crisis.Excessive risk-taking by banks combined with the bursting of the United States housing bubble caused the values of securities tied to U.S. real estate to plummet damaging financial institutions globally culminating with the bankruptcy of Lehman Brothers on September …
The U.S. Dollar Index (USDX DXY DX or informally the “Dixie”) is an index (or measure) of the value of the United States dollar relative to a basket of foreign currencies often referred to as a basket of U.S. trade partners’ currencies. The Index goes up when the U.S. dollar gains “strength” (value) when compared to other currencies. The index is designed maintained and published by …
Foreign exchange reserves (also called forex reserves or FX reserves) are cash and other reserve assets such as gold held by a central bank or other monetary authority that are primarily available to balance payments of the country influence the foreign exchange rate of its currency and to maintain confidence in financial markets. Reserves ar…