What is Interest Rate?

The amount charged by a lender to a borrower for the use of assets.

In-Depth Explanation

Central bank interest rates are the single most important factor in the Forex market, as they determine the "yield" of a currency.

"The BOE raises interest rates to 5.25%, making the British Pound more attractive to international investors."

Knowing the terms is just the start. Learning how to apply them is where the edge is found.