# Currencies PRO and CON **USD**\ Positive points:\ -Main reserve currency for global transactions\ -Currency of the strongest world economy\ \- The most important currency in the world\ \- Considered a safe investment\ \ Negative points:\ \- Attempts to weaken the US dollar to combat the trade deficit.\ \- Volatility due to information warfare against Fed countries that stop\ using US dollars for international transactions.\ \ **GBP**\ Positive points\ -It is one of the most liquid currencies\ -10-year bond rate higher than German bonds\ -Potential trade agreement between US and UK after Brexit.\ \ Negative points\ -Current account deficit.\ \- Inflation below the target of 2%\ \- Uncertainty due to the low political settlement of Brexit with the European Union\ \ **CAD**\ Positive points\ -USA is one of the main trading partners of Canada.\ -Currency pegged to the price of commodities , mainly oil\ \ Negative points\ -Interest rate 1.75% below the Fed's interest rate, not profitable for carry trade\ -High inflation , which can lead to higher interest rates\ \- Weakness due to falling oil prices.\ \- Latent risk: The United States is imposing import duties.\ \ **NZD**\ Positive points\ -Australia is their main business partner\ -Currency is tied to goods\ \- tends to increase when there is an inclination to take risks\ \ Negative points\ \- Impact due to a slowdown in Australian economic growth\ \- Bearish interest rate cycle since late 2016\ \ **EUR**\ Positive points:\ \- Belongs to a very powerful economic zone with great potential.\ -It is an international reserve currency.\ \ Negative points:\ -Inequality of public finance between member countries\ \- Interventions by the ECB to pump liquidity at a 0.00% interest rate.\ -Uncertainty of the trading future amid Brexit\ -The threat of a weakening economy\ \ **CHF**\ Positive points\ -Strong correlation with gold\ -Safe Haven currency in the face of uncertainty and inflation\ -Direction for private bank investment\ \ Negative points\ -Currently has a negative reference rate of -0.74%\ \- The economy has very low inflation\ \ **JPY**\ Positive points\ -Slight increase in inflation\ \- This is a currency that strengthens in the face of uncertainty scenarios\ \ Negative points\ -Continuous increase of assets in the Bank of Japan's Balance Sheet\ -Weakness in carry trade scenarios\ -Negative interest rate at 0.10%\ \ **AUD**\ Positive points\ -It can be strengthened in the face of inflationary pressures and uncertainties.\ -Currency correlated with gold\ \ Negative points\ -Constant decrease in the interest rate since the end of 2010\ -Weakness in the US-China trade war\ -Dropping prices in the real estate market --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://blog.atraderlife.com/ideas/untitled/currencies-pro-and-con.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.