If a foreign currency is quoted in american terms (the direct quote) and the forward rate for a foreign currency is less than the spot rate, the foreign currency is selling at a ________

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Xoxodestinydee9954idn Xoxodestinydee9954idn

04-08-2022
Social Studies

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If a foreign currency is quoted in american terms (the direct quote) and the forward rate for a foreign currency is less than the spot rate, the foreign currency is selling at a ________

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Tutorconsortium361idn Tutorconsortium361idn · Answer 1 · 2022-08-10T02:17:28-04:00

A direct quote is a foreign exchange rate quoted as the domestic currency per unit of the foreign currency.

What is foreign exchange?

The foreign exchange market is a global decentralized or over-the-counter market where currencies are traded. This market sets the exchange rates for all currencies. It encompasses all aspects of purchasing, selling, and exchanging currencies at current or fixed prices.

Forex is a global marketplace where you may exchange one currency for another. Central banks are also participating in the forex market, buying and selling currencies in order to raise or lower the value of their own currency. The forex markets provide investors with liquidity and trading 24 hours a day, seven days a week – but they are extremely volatile.

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What is foreign exchange?

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