首页
外语
计算机
考研
公务员
职业资格
财经
工程
司法
医学
专升本
自考
实用职业技能
登录
外语
The forward market also provides facilities for forward currency transactions. This is a means of enabling the importer or expor
The forward market also provides facilities for forward currency transactions. This is a means of enabling the importer or expor
admin
2012-01-26
41
问题
The forward market also provides facilities for forward currency transactions. This is a means of enabling the importer or exporter to agree a rate of exchange, now, at which a foreign currency will be exchanged for sterling at a future date, usually one, two, three or six months ahead but sometimes one or two years. This rate is fixed regardless of what might have happened to the rate of exchange in the meantime and is particularly useful in an era of floating, and potentially volatile, exchange rates. If, for example, a British importer of US machines which cost $ 3,000 each has to pay in one month’s time he may prefer to buy the currency now for actual delivery in one month’s time. With a current rate of $2.00 to the 1 pound the one month rate may be at a two cent premium ($1.98) or 2 cents dearer than the spot rate. These purchases will therefore cost the importer an additional £ 15 but at least he knows exactly how much it will cost him whatever happens to exchange rates. If the pound had been devalued or floating down during the month the cost could have horn a lot more than £ 15.
Theoretically there are two alternatives to buying forward:
1) To buy $3,000 now at the spot rate, pay interest on any loan to pay for the purchase and invest the dollars for one month.
2) Pay the spot rate in one month’s time whatever the rate might be.
The facility to buy or sell a currency forward, therefore, enables the importer to fix a definite price which will not be affected by fluctuations in exchange rates.
Forward exchange markets were temporarily disrupted in 1974 by the collapse of a West German bank which failed to meet its foreign currency obligations. As the foreign exchange markets depend so much on confidence, this collapse led to a temporary contraction in the forward market. However, it has now regained much of the ground lost, indeed in an era of floating rates the forward market is of even more importance to traders in insuring themselves against loss through exchange rate fluctuations.
How are the forward transactions made in the forward market?
选项
A、When the dealers see marginal differences in the rate of exchange in different markets, they can buy the second currency in one market and selling in another.
B、Most of the dealing in the foreign exchange market is to satisfy the immediate requirements of traders.
C、The dealers can close a deal by agreeing the rate of exchange in the meantime in this market and then delivery of currency is specified to take place at a future date.
D、The markets respond to the normal laws of supply and demand of currency.
答案
C
解析
第一段第二句指出This is a means of enabling the importer or exporter to agree a rate of exchange,…意指远期市场的远期外汇交易使进出口商协定好汇率,并按照事先协定汇率,在约定的未来的某段时期后,进行外汇交易。此句说清楚了远期外汇交易是如何进行的。
转载请注明原文地址:https://kaotiyun.com/show/RdYd777K
本试题收录于:
FECT综合(现代金融业务)题库金融英语(FECT)分类
0
FECT综合(现代金融业务)
金融英语(FECT)
相关试题推荐
Ihavenevertakenaplane.MyfriendLiPing,either.______ushasevertakenaplane.
In1870srichpeoplebegantospeakofspendingweekendsinthecountryvisitingfriends.Formostpeoplebackthen,however,th
In1826,aFrenchmannamedNiepceneededpicturesforhisbusiness.Buthewasnotagoodartist.Soheinventedaverysimplec
Yesterday,Johnwentforabusridetothecountryside.Thebuswasnotfullandhehadagoodseatatthefront.Forabout
BufordisthesmallesttownintheUS.ThetownishighinthemountainsanditliesontheroadbetweenNewYorkandCalifornia
Hesaidthatheremembered_______thedoorwhenhecameout.
Inlong-termconstructioncontracts,revenueisrecognizedatthepointofthecashcollected.
Inextendingloans,oneoftheprinciplesthatacommercialbankpersistsinis______.
Theindirectpolicyinstrumentsincluderequiredreserveratio,interestrateadjustment,andcreditceiling.
Whichofthefollowingisnotincludedinthestatementofcashflows,orinasupplementaryscheduleaccompanyingthestatement
随机试题
根据五行相克规律,思可胜根据五行相克规律,怒可胜
检验批的合格判定应符合规范对()的规定。
下列说法错误的是()。
下列有关资产负债表日后事项的表述中,正确的是()。
以下对审核说法正确的是_______。
根据以下情境材料,回答下列问题。2019年8月14日,某市一临街居民楼顶楼发生爆炸,并引发了火灾。现场一片混乱,有两人当场死亡,七人被困。经公安机关调查,事故的原因是段某利用氢气罐制作氢气球引起爆炸,继而引发火灾,段某当场死亡。为防止此类事件再次发生
一、注意事项1.申论考试是对应考者阅读理解能力、综合分析能力、提出问题和解决问题能力、文字表达能力的测试。2.作答参考时限:阅读资料40分钟,作答110分钟。3.仔细阅读给定资料,按照后面提出的“作答要求”依次作答。二、给定资料
各国在出生国籍上通常采用的原则有()。
Manfirstappearedonearthhalfamillionyearsago.Thenhewaslittlemorethanananimal;butearlymanhadseveralbigadva
ThecityfinallywonapprovalforalimitedspeedcameraprograminJuneafteralongbattleinAlbany,andCityMayorBloomberg
最新回复
(
0
)