This paper looks at how temporary changes in trade terms affect a country's exchange rate and current account. The study uses a model of a small open economy producing and consuming three goods. It shows that temporary trade disturbances can cause the exchange rate to overshoot. Import tariffs can worsen the current account in the short term. The research also examines how temporary and permanent trade shocks impact the current account. The findings have implications for balance of payments policies and understanding exchange rate misalignment.