A serious form of credit issue where a nation's government is either unwilling or incapable of paying its loan obligations, or the chances that a nation will change its currency policy in a way that affects its currency's forex market value. Forex traders are usually vary wary of being long a currency where the issuing government is showing signs of defaulting on its loans due to the substantial sovereign risk involved.
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cash flow forecast
sinking fund provision
Commitment of Traders Report (COT)
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