Which of the following events might have caused the euro to appreciate and why The European Central Bank sold euros in the foreign exchange market The Fed intervened in the foreign exchange market and bought U S dollars The EU interest rate differential increased Profits increased in Europe, and U ...

The European Central Bank sold euros in the foreign exchange market If the ECB interven ...

Which of the following events might have caused the euro to appreciate and why? The European Central

Question:

Which of the following events might have caused the euro to appreciate and why?

The European Central Bank sold euros in the foreign exchange market.
The Fed intervened in the foreign exchange market and bought U.S. dollars.
The EU interest rate differential increased.
Profits increased in Europe, and U.S. investment in Europe surged.

Foreign Exchange Market
The foreign exchange market (also known as forex, FX or the currency market) is an over-the-counter (OTC) global marketplace that determines the exchange rate for currencies around the world. Participants are able to buy, sell, exchange and...