Free floating

The free floating of the dollar is a great advantage, since it avoids the accumulation of inflationary pressures or inflation, on the exchange rate, minimizing the possibility of exchange problems. This indicates that the exchange rate fluctuates freely in the market and implies that the government will refrain from manipulating it in such a way that the price of the dollar is fixed by the interaction between supply and demand. Since from one day to another and according to economic indicators and what happens in the stock market, the free float will remain.

See the Frequently used information section, Exchange rate sub-section.

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