Central cashbackf cashback forexexexness forex rebate club cashbackforexbroker hike_What is central bank forexrebateclubterest rate hike An interest rate hike is an act by the central bank of a country or region to raise interest rates, thus making it more expensive for commercial banks to borrow from the central bank, which in turn forces interest rates in the market to increase as well The purposes of an interest rate hike include reducing the money supply, depressing consumption, suppressing inflation, encouraging deposits, slowing down market speculation, etc. An interest rate hike can also be used as an indirect means of raising the On September 16, 1992, the Bank of England raised the interest rate of the British pound twice in one day, a typical example of interest rate hikes in recent financial history. An interest rate hike is a purposeful increase in the current interest rate or rates by a central bank or a commercial bank (including non-bank financial institutions), usually to achieve a specific goal. The purpose of interest rate increases include reducing the money supply, depressing consumption, suppressing inflation, encouraging private deposits, slowing or curbing market speculation, etc. Interest rate increases can also be used as an indirect means of raising the value of national or regional currencies against other currencies (exchange rates). In general, the direct purpose of interest rate hikes is to force commercial banks to borrow from the central bank at a more expensive cost, which in turn forces the interest rate on interbank lending (such as interbank lending, interbank lending) to increase the cost of short-term financing in the financial market as a whole and discourage malicious speculation. For example, a country or a region may reduce interest rates when its (or local) currency is appreciating, thus increasing the money supply, which can achieve the purpose of curbing currency appreciation (there are many prerequisites for such behavior to be successful), but the country or the region will face new upward pressure on prices and will have to raise interest rates to calm down prices (prices will rise further if more money is available after the interest rate cut)
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