Traders are grateful to the Fed, which causes a decrease in the markets with the possibility of an interest rate increase, for the profit figures seen every 10 years.
The decline in the US from stocks to bonds and then in commodity markets caused by the possibility of interest rate increases seems to have benefited foreign exchange traders the most.
Increased volatility supports Parker Global Currency Manager Index. The index rose 3.29 percent in the last quarter, marking the highest output since the 4.93 percent increase in the last quarter of 2004. The index, which follows 14 important foreign exchange funds, has declined in four of the last five quarters and has not completed any year with an increase since 2010, when it rose 0.94 percent.
The differing policies of the US Federal Reserve and other major central banks both raise the dollar and cause price changes that come in the business of traders.
Roger Hallam, chief investment officer at JPMorgan Asset Management Inc in London, said: “This solid gain seen this quarter was due to the view that the US dollar should rise. “This way, the currency managers were able to recover their previously recorded losses,” he said.