Dollar’s inverse movement in Iran
The psychological impact of the impending economic reform plan and the high inflation resulting from it has resulted in an increase in the rate of dollar in Iran.
The word "inverse" best describes the currency market in Iran in which the movement is the opposite of that of the global market, according to a report by ILNA news agency.
In the global market, the continuation of the hazy economic situation in the U.S. has resulted in the weakening of the dollar in the past year, especially in the past two weeks.
The euro also has weakened due to the bad economic situation in the European Union but the unprecedented fall of the dollar has been much worse resulting in relatively a better market for the euro.
Overall, the unclear economic future in the U.S. and E.U. and the severe depreciation of the dollar has persuaded investors and worldwide governments to purchase gold to safeguard the value of their currencies.
Marketers maintain that controlling the inflation resulting from the economic reform plan will be very difficult and this fact has led to investors' demand for dollars and hence the increase in the rate of dollar in Iran.