The forward market
A) involves contracting today for the future purchase of sale of foreign exchange at the spot rate that will prevail at the maturity of the contract.
B) involves contracting today for the future purchase of sale of foreign exchange at a price agreed upon today.
C) involves contracting today for the right but not obligation to the future purchase of sale of foreign exchange at a price agreed upon today.
D) none of the options
Correct Answer:
Verified
Q59: Q60: Suppose you observe the following exchange rates: Q61: The forward price Q62: If one has agreed to buy a Q63: Which of the following are correct? Q65: The current spot exchange rate is $1.55/€ Q66: Consider a trader who takes a long Q67: When a currency trades at a discount Q68: For a U.S.trader working in American quotes,if Q69: The current spot exchange rate is $1.50/€
A)may be higher than the
A)
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