The foreign exchange market is all about exchanging currencies between countries. The word market might feel similar to a small market where we get our daily needs. But in this case, it is not so. A foreign exchange market is a market that has numerous people in thousands where some import or export goods or banks or any similar thing like global investors, international travelers. These group of individualsis specially termed as foreign exchange brokers.
Like any other emergency medical shop, the foreign exchange market is never close. On a Monday morning, this market is open in Australia, Sydney, and Hong Kong. Then when Monday morning turns out to be a day, the markets in Tokyo, Singapore, Frankfurt, Bahrain, New York, London, San Francisco and Chicago opens. When it is time for the market to close in all those places, then it is finally Sydney’s turn to open the market. So all the people involved are somehow always in work somewhere or the other. It has been estimated that in a single day approximately three trillion dollars are being traded in this foreign exchange market. Which if calculated annually gives a result of six hundred dollars trillion dollars.
Links of Previous Main Topic:-
- Definition of Economics
- Economic Problem
- Market Equilibrium
- Employment and Unemployment
- Measuring GDP and Economic Growth
- Economic Growth Macroeconomics
- The Exchange Rate and the Balance of Payments
- The Foreign Exchange Market
Links of Next Macroeconomics Topics:-
- Exchange the Rates Exchange Rate and the Balance Of Payments
- Questions about the U S Dollar Exchange Rate
- The Demand for One Money Is the Supply of Another Money
- Demand in Foreign Exchange Market
- Supply in the Foreign Exchange Market
- Exchange Rate Fluctuations
- Changes in the Exchange Rate
- Fundamentals Expectations and Arbitrage
- The Real Exchange Rate
- Exchange Rate Policy
- Flexible Exchange Rate
- Crawling Peg
- Financing International Trade
- Borrowers and Lenders
- Debtors and Creditors
- Is U S Borrowing For Consumption
- Where Is the Exchange Rate
- The Dollar and Carry Trade
- Expenditure Multiplier Know the Keynesian Model