Foreign Exchange Markets

Foreign Exchange Markets

For a foreign exchange of specific currency, the non-hedged position is classified as

open position

close position

currency long position

currency short position

Author: rikazzz Comment

Foreign Exchange Markets

The theory according to which the difference between expected appreciation and foreign interest must be equal to domestic interest rate, is called

interest rate parity theorem

appreciation parity theorem

domestic parity theorem

foreign interest parity theorem

Author: rikazzz Comment