a network of individuals and institutions connected with each other for voluntarily exchanging, or facilitating the voluntary exchange of, domestic and foreign currencies
a totality of currency conversions, i
The market that is made up of importers and exporters, banks, and specialist dealers who buy and sell currencies. (p. 513)
This market has no single physical location but refers to the processes by which currencies of different countries are exchanged for one another.
Market for trading in currencies.
Market for trading currencies internationally. The foreign exchange market, also referred to as the Forex and FX market, is a decentralized market that has no physical exchange floor. Trading is done over the counter via phone, fax or electronic distribution networks. Turnover in this market is approximately $1.5 trillion USD daily, making it the largest, most liquid financial marketplace.
a market in which one currency (such as Japanese yen) can be exchanged for another currency (such as U.S. dollars).
Market where currencies are traded internationally. About a trillion (million million) dollars-worth of foreign exchange is traded globally every day, making forex larger than all bond markets put together. Currency markets exist in the form of spot, forward, futures and options markets. Foreign exchange transactions are made up of: Trade flows Only 5% to 10% of total forex transactions. Imports usually need to be paid for in the currency of the country from which they originate. Exports are usually paid for in one's own currency. A trade deficit therefore causes a currency to depreciate. Flow-ons Created when a large trade is split up into several smaller trades. Capital flows Cross-border investment. Speculation Short-term investment based on expected currency movements. This accounts for the lion's share of forex market volume.
The inter-bank or over-the-counter market in foreign exchange that is a network of commercial banks, central banks, brokers and customers.
A condition or area where buyers and sellers are in contact to buy and sell foreign currencies. Foreign exchange markets exist wherever and whenever currencies are bought and sold, and are not necessarily confined to cities. FX or forex An abbreviation for foreign exchange. - Hedging A transaction strategy used by traders and investors in foreign exchange to protect an investment or portfolio against currency price fluctuations. A current sale or purchase is offset by contracting to purchase or sell at a specified future date in order to defer a profit or loss on the current sale or purchase. In this way risk due to currency price fluctuations is effectively reduced. - Interbank prices Currency prices that reflect market rates for transactions of US $1 million or more. Interbank prices are different from retail prices.
The market on which currencies are traded (FOREX)
This is where currencies are traded internationally. Over a trillion dollars-worth of foreign exchange is traded globally every day, making forex larger than all bond markets put together. Foreign exchange markets exist in the form of spot, forward, futures and options markets.
The foreign exchange market is the market in which the currency of one country is exchanged for the currency of another.
Foreign exchange risk Foreign exchange swap
Market where currencies are traded internationally. The foreign exchange market represents transactions equaling approximately a trillion dollars globally every day, which is greater than all bond markets combined.
Market in which foreign currencies are bought and sold and exchange rates between currencies are determined. The exchange rate is the price at which one country's currency can be converted into another. Some exchange rates are fixed by agreement, but most are determined by supply and demand on the exchange market.
An over-the-counter market where buyers and sellers conduct foreign exchange business by telephone and other electronic means of communication.
The foreign exchange (currency or forex or FX) market exists wherever one currency is traded for another. It is by far the largest market in the world, in terms of cash value traded, and includes trading between large banks, central banks, currency speculators, multinational corporations, governments, and other financial markets and institutions. The trade happening in the forex markets across the globe currently exceeds $1.9 trillion/day (on average).