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What is Understanding the Foreign Exchange Market about?

The foreign exchange market allows currencies to be traded and facilitates international trade and business. It is decentralized and operates electronically 24/7 globally. Key concepts discussed include exchange rate regimes, the law of one price, purchasing power parity which states that exchange rates adjust to equalize prices internationally, and interest rate parity which links interest rate differentials to expected changes in exchange rates. Market forces like supply and demand, inflation expectations

Author

Sheryl Kishan

Language

EN