In the foreign exchange market, an increase in the demand for a country's currency, while supply remains constant, will most likely result in which of the following outcomes?

In the foreign exchange market, when more people want to buy a country's currency while the amount of that currency available stays the same, the value of the currency will go up. This happens because increased demand means that buyers are willing to pay more to get that currency. For example, if many investors want to buy euros but there aren’t many euros available, the price of euros will rise compared to other currencies like the dollar. As a result, the country's currency becomes stronger, making imports cheaper and exports more expensive. This change can affect trade balances and the overall economy of the country.