Live forex exchange rates are important because they help an individual make an informed decision as to when to send money abroad, notes Currencies.co.uk. The currency market is extremely volatile, and usually, there are large movements for a currency pair in one day.Continue Reading
When planning a trip, people usually check the most up-to-date foreign exchange conversions before booking their vacations so as to plan their choice of locations appropriately, explains Investopedia. For instance, if the U.S. dollar grows weaker to the euro, American citizens are likely to be hesitant to travel to Europe because they dread that everything is going to be more expensive than if the two currencies were trading at parity.
Real-time forex exchange rates are also crucial to business owners who import, for example, their raw materials from another country because it helps them make certain critical decisions. If, for instance, the price of the euro starts to climb steeply against the dollar, one of the best moves an American investor can make is to stock certain supplies, states Investopedia. Conversely, if the price of the euro begins to decline against the dollar, the trader can keep the inventory at a minimum in the hope that the euro declines enough for the investor to save on his purchased goods.Learn more about Currency & Conversions