information for forex market request-reg
phanindra kumar chennupati
(Querist) 27 December 2010
This query is : Resolved
dear sir,
i wants to know about forex market and what its function ?
malipeddi jaggarao
(Expert) 28 December 2010
he foreign exchange market (forex, FX, or currency market) is a worldwide decentralized over-the-counter financial market for the trading of currencies. Financial centers around the world function as anchors of trading between a wide range of different types of buyers and sellers around the clock, with the exception of weekends. The foreign exchange market determines the relative values of different currencies.[1]
The primary purpose of the foreign exchange is to assist international trade and investment, by allowing businesses to convert one currency to another currency. For example, it permits a US business to import British goods and pay Pound Sterling, even though the business's income is in US dollars. It also supports speculation, and facilitates the carry trade, in which investors borrow low-yielding currencies and lend (invest in) high-yielding currencies, and which (it has been claimed) may lead to loss of competitiveness in some countries.[2]
In a typical foreign exchange transaction, a party purchases a quantity of one currency by paying a quantity of another currency. The modern foreign exchange market began forming during the 1970s when countries gradually switched to floating exchange rates from the previous exchange rate regime, which remained fixed as per the Bretton Woods system.
for more information follow the link:
http://en.wikipedia.org/wiki/Foreign_exchange_market
Advocate. Arunagiri
(Expert) 28 December 2010
forex market typicaly like a share market.
In share market you buy and sell shares of various companies.
In forex marketx you buy and sell currency of various countries.
