U.S. rebateforex ForexRapidRebate Forex Rapid Rebate good for the dollar, why the dollar did not appear as the market expected inelastic rise? The reason, the tax reform cashback forex produce a very large amount of rebateforexfee rebateforexbroker is one of the main reasons budget deficit is one of the main factors in the fundamental analysis of foreign exchange trading budget deficit (also known as fiscal deficit) published by the Ministry of Finance every month, mainly to describe the governments budget implementation, indicating the total government revenue and total expenditure situation: if income does not cover expenditure (expenditure is greater than revenue) that is the budget deficit; if revenue is greater than expenditure that is the budget surplus. The budget deficit is a manifestation of the failure to balance fiscal revenue and expenditure, which is a worldwide fiscal phenomenon. The budget deficit is the difference between fiscal expenditure and fiscal revenue, which is called budget deficit because it is treated in red in accounting. A large number of problems, there will be a situation where income does not cover expenditure, which is inevitable The reason why budget deficits (fiscal deficits) occur are two main reasons: one is to lower tax rates or increase government spending in order to stimulate economic development, twenty because of government mismanagement, causing a lot of tax evasion or excessive waste Now lets mainly look at how budget deficits affect the foreign exchange market?In December 2017, the Trump tax reform Through the U.S. Congress Senate and House of Representatives, in January 2017 officially took effect Trump tax reform is the largest U.S. tax reform bill in the past 30 years, the most important point is to reduce the corporate tax will be the original 35% to 21% According to reason, the U.S. tax reform on the ground, is expected to stimulate the development of the U.S. economy to a large extent, favorable to the dollar, but the dollar did not enter the market as expected to appear a substantial increase One of the main reasons is because, because the tax reform will increase the U.S. budget deficit, when a countrys budget deficit accumulated too high, like a company carrying too much debt, for the long-term economic development of the country, is not a good thing, for the countrys currency belongs to the long-term negative Therefore, the U.S. tax reform landed, the dollar did not appear inelastic rise, is from the market to the United States will face the The impact of budget deficits on foreign exchange rates? If a countrys budget deficit increases, the countrys currency will fall, conversely, a countrys budget deficit shrinks, indicating that the countrys economy is good, the countrys currency will rise budget deficit is one of the important economic indicators of fundamental analysis of foreign exchange transactions, foreign exchange traders can understand the actual budget implementation status of the government through the budget deficit data, so as to deduce the foreign exchange market, the next trend of the countrys currency, and can be used to predict the short-term Whether the Ministry of Finance needs to issue bonds or treasury bills to cover the deficit, because short-term interest rates will be affected by the issuance of bonds or not (Note: through the issuance of public debt to cover the fiscal deficit is the common practice of countries around the world)