FXOpen Increases Margin Requirements Due to Effect of Coronavirus

For reference

As we know, today at an emergency meeting the US Fed decided to cut its key interest rate to 0-0.25% to support the economy. However, despite this, stock indices are currently falling following the news of the coronavirus pandemic.

With the fall of Asian and European indices, as well as US Index Futures, Bitcoin is also losing ground. However, in the near future, Bitcoin might attract the demand of investors as an alternative asset. Halving can give Bitcoin additional growth.

You should not expect a quick recovery in stock prices, while the spread of coronavirus continues, which impedes the normal functioning of the economy. Following an almost complete stoppage of the largest economies in the world, the number of infected is growing exponentially, which indicates the insufficiency of the measures taken. This factor may further destabilize markets. With this development, it is also likely that currencies in emerging markets will decline, as well as a rapid increase in volatility in the Forex market.

If stock indices hold on at current levels and coronavirus recedes, a rally in all markets can be expected. Creating a vaccine can “blow markets.”

Based on the current situation, guided by the rules of risk management and in order to preserve client funds, FXOpen decided to increase margin requirements. We sincerely hope for your understanding.

Follow the updates on Facebook, Twitter and Telegram.

FXOpen Customer Service
E-mail: [email protected]
Live Chat (24/5)

FXOpen Customer Service

E-mail: [email protected]

Live Chat (24/5)
Voltar