[anm89]

I would be hesitant to make blanket statements like that about literally anything in the forex world.

I would say that's a potential factor. Then again, I don't believe that there is much sentiment that rates are about to rise but I'm sure others would disagree.

[hehetrthrthrjn]

Why? Relative interest rates are one of the main determinants of the value of a currency, and there is a very popular trade that enforces it.

The "carry trade" involves borrowing money in a low interest currency (say EUR) and selling that to buy a higher yielding currency (USD) and pocketing the difference in interest rates.