Tải bản đầy đủ - 0 (trang)
PART II. ORGANIZATION OF THE FOREIGN EXCHANGE MARKET

PART II. ORGANIZATION OF THE FOREIGN EXCHANGE MARKET

Tải bản đầy đủ - 0trang

ORGANIZATION OF THE FOREIGN

EXCHANGE MARKET

B.



Two Types of Currency Markets



1. Spot Market:

- immediate transaction

- recorded by 2nd business day



8



ORGANIZATION OF THE FOREIGN

EXCHANGE MARKET

2. Forward Market:

- transactions take place at a

specified future date



9



ORGANIZATION OF THE FOREIGN

EXCHANGE MARKET

C. Participants by Market

1.

Spot Market

a. commercial banks

b. brokers

c. customers of commercial

and central banks

10



ORGANIZATION OF THE FOREIGN

EXCHANGE MARKET

2. Forward Market

a. arbitrageurs

b. traders

c. hedgers

d. speculators

11



ORGANIZATION OF THE FOREIGN

EXCHANGE MARKET

II. CLEARING SYSTEMS

A. Clearing House Interbank

Payments System

(CHIPS)

- used in U.S. for electronic

fund transfers.

12



ORGANIZATION OF THE FOREIGN

EXCHANGE MARKET

B. FedWire

- operated by the Fed

- used for domestic

transfers

13



ORGANIZATION OF THE FOREIGN

EXCHANGE MARKET

III. ELECTRONIC TRADING

A. Automated Trading

- genuine screen-based

market



14



ORGANIZATION OF THE FOREIGN

EXCHANGE MARKET

B. Results:

1.



Reduces cost of trading



2.



Threatens traders’

oligopoly of information



3.



Provides liquidity

15



ORGANIZATION OF THE FOREIGN

EXCHANGE MARKET

IV.



SIZE OF THE MARKET



A. Largest in the world

1999:



US$1.5 trillion daily

or

US$375 trillion a year



In 1999 the US GDP was US$9.1 trillion

16



ORGANIZATION OF THE FOREIGN

EXCHANGE MARKET

B. Market Centers (1998):

#1: London = $637 billion

daily

#2: New York= $351 billion

daily

#3: Tokyo = $149 billion

daily

17



PART III.

THE

SPOT

MARKET

I.

SPOT

QUOTATIONS

A. Sources

1.

All major newspapers

2.

Major currencies have

four different quotes:

a.

spot price

b.

30-day

c.

90-day

d.

180-day

18



Tài liệu bạn tìm kiếm đã sẵn sàng tải về

PART II. ORGANIZATION OF THE FOREIGN EXCHANGE MARKET

Tải bản đầy đủ ngay(0 tr)

×