Does the dollar appear to be appreciating or depreciating


Go to https://www.economist.com. Under the "Markets & Data" section, activate the foreign exchange map. On the menu at the far left, choose the U.S. dollar as the base currency.

a. Click on the "1-month" selection to show the appreciation or depreciation of the world's currencies relative to the dollar. Does the dollar appear to be appreciating or depreciating against most of the world's currencies, or is the answer mixed?

b. Next, choose the "1-year" option, and identify two or three countries whose currencies have depreciated the most against the U.S. dollar and two or three whose currencies have appreciated the most. Search the Web to try to find out those countries' most recent inflation figures. What lesson does this reveal?

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Financial Econometrics: Does the dollar appear to be appreciating or depreciating
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