Currency arbitrage refers to the practice of taking advantage of exchange rate differences in various foreign exchange market venues to make a net profit. Currency arbitrage plays a significant role ...
Today’s economic reality includes a world of free-floating fiat currencies, where the value of a nation’s currency is determined by supply and demand in the global foreign exchange or forex market.
Many countries go to great lengths to manage their exchange rates. Probably the most prominent recent example is the European Monetary Union, where all the members abandoned their national currencies ...
Discover how interest rate fluctuations affect fixed-income securities and explore derivatives, swaps, and options to manage ...
The exchange rate of a nation's currency is one of the most important determinants of its state of economic health. Find out ...
BMO Capital Markets predicts higher prices for gold and silver as a hedge against the instability of fiat currencies. Inflation in the US dollar can have significant implications for dollarized ...
The U.S. dollar has seen some remarkable swings against major currencies recently. For example, over most of 2005, it gained nearly 18% against the yen and 13% against the euro, while between March ...
What is the value of a country’s goods against those of another country, a group of countries, or the rest of the world, at the prevailing exchange rate? How does one determine whether a currency is ...
Interest rate swaps are used by institutions and businesses to manage cash flows and interest rate exposure. Swaps involve the exchange of cash flows between two parties, with an intermediary handling ...