History of Forex
In the early 20th century, after World War II has ended (AD 1939-1945) to promote trade and
economic development urgently. The United States has pushed many countries, including all 29 countries attended
the meeting and agreed at Bretton Woods. The name is called Bretton Woods System or
are known as new world economy of regulation in America. The contents of any major importance is international trade and finance. By trade and investment, as a liberal reducing the barriers and restrictions, most. In the financial section of the rules has been defined as follows:
1. Constant exchange rate
2. To use the us dollar as an intermediary currency in trading is the 35 dollar per Gold 1 Oz.
3. Limited movement, capital.
The Bretton Woods system that has 3 main areas supervisory institutions, it is.
-GATT (WTO) free trade zone administration
- IMF and the World Bank. Take care, free financial system
The Bretton Woods system, if concluded, as one element of the Pax americana is cluttered world of
States, that is a blockade strategy to expand the influence of the communist doctrine of the Soviet Union and.,
Insurance powers of the United States as the world's superpower, but Bretton Woods system after they have been used gradually.
The United States considered itself unable to print money, banknotes are printed manual come out tax-free until used.
The inflation rate occurred. Make Countries No confidence in the financial system of the United States (AD 1963-1969), and after inflation reached Critical steps.
The United States Government has canceled the fixed exchange rate system is a floating exchange rate system agents in March 1973, and the subsequent end of the same year, the energy crisis (oil shock), OPEC oil prices were up 4 times. The United States Government decided to cancel the Bretton Woods system as soon as possible.
This match is regarded as beginning (AD 1973), when the Bretton Woods system was canceled, thus all the main currencies become the floating exchange rate.
As a result, investors around the world to make buy-sell to a lot of speculation. So the value of silver has become extremely volatile same.
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