Intl Business and Trade

- a commodity that consists of currencies issued by countries other than ones own

Answer explanation

Foreign exchange

-Price of the foreign currencies in terms of home currency

Answer explanation

Direct exchange rate

- Price of the home country in terms of the foreign currency

Answer explanation

Indirect exchange rate

- Comprises buyers and sellers of currencies issued by the worlds countries

Answer explanation

Foreign exchange market

- The role of it is to buy or sell major traded currencies and wholesale or retail markets

Answer explanation

Banks

- These clients engage in foreign exchange transactions as part of their normal activities

Answer explanation

Commercial customers

- These clients assume exchange rate risk by acquiring positions in a currency.

Answer explanation

Speculators

- These clients obtain riskless profits by buying the currency in the lower priced market and selling it in the higher price market

Answer explanation

Arbitrageurs

- foreign exchange transactions that are consummated immediately

Answer explanation

Spot Market

- foreign exchange transactions that to occur in the future

Answer explanation

Forward Market