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Central bank intervention

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Central bank intervention
The buying or selling of currency, foreign or domestic, by central banks in order to influence market conditions or exchange rate movements.


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The mere expectation or rumor of central bank intervention might be enough to stabilize a currency, but aggressive intervention might be used several times each year in countries with a dirty float currency regime.
The central bank interventions are analyzed from various game-theoretic angles: deterministic game against nature,
We will see a lot more central bank intervention in the coming months.
 
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