Exchange Rate Now!

As we step into this new year, we left behind 2009 in what was a tumultous year where exchange rate is concerned. We stepped into year 2009 where oil prices declined steeply, before a sharp upturn occurred in the later part of the year. We stepped into 2009 where the world financial markets was reeling from bank collapse before stock market climbed in the later part of the year.

We stepped into year 2009 when the US Dollar was strengthening against all other major currencies and the US Dollar finished on a strong note.

Here are some of the possible predictions for year 2010.

1. US Dollar continue to appreciate – Year 2010 might be another good year for US Dollar, at least in the early part of the year. All the Detroit big 3, Dubai World and Banks will need more time to prove their stability. Therefore, it is expected for US Dollar to be the preference of parking of wealth.

2. South African Rand – Year 2010 promises to change the whole of South Africa with the arrival of the FIFA World Cup. With high expectations, the Rand would be a hopeful punt with forex traders and for the South African themselves, hoping that this event will kick-start the economy and bring wealth to the people.

3. H1N1 – With vaccination in sight, there had still been news on mutation of virus resistant to the vaccine. Should another outbreak occurs, expect another surge in the value of the US Dollar.

4. Finally, this might be the year that most people expect the Chinese Yuan to appreciate. Can the Chinese Government hold off the RMB revaluation? There had been several “small” relaxation of the RMB and forex traders will surely be eying the RMB as the next punt of the government choose to finally let market forces drive some of the trading activities.