Interest rate and trade issues of Saudi Arabia’s Currency and the U.S. Dollar

        It is proposed by the theory of the economic reduction in interest rate can make the weaker to the dollar beside the currencies of the other countries and when the dollar is week it can affect the strength of the Us dollar. When the US dollar will effected by decreasing the interest rate than the value of the exchange rate other currieries automatically increased and appreciated. Meanwhile Trade issues will be decrees for the currency of the Saudi Arabia by increase the prices of the oil. When the oil prices will be increase the economy of the Saudi Arabia will be grow and then it will decrees the trade issue. This would be the cause appreciation of the exchange rate. The exchange rate of the Saudi Arabia’s Currency is given in the appendix.