#CommunityAMA Predicting Geopolitical Impact on FX with AI AI models are increasingly used to assess and predict the impact of geopolitical events—such as wars, elections, sanctions, and diplomatic shifts—on foreign exchange (FX) markets. By leveraging natural language processing (NLP) on news feeds, social media, and policy statements, AI can quantify sentiment and detect early signals of geopolitical tension. Machine learning algorithms then correlate these insights with historical FX responses to similar events, enabling dynamic risk forecasting and scenario analysis. Deep learning models further enhance prediction accuracy by identifying nonlinear patterns across multi-source geopolitical data.