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Caused by an expected change in exchange rates. An expected increase in exchange rates may speed up transactions while an expected decrease may slow exchange rates.
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Related Terms
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Forward guidance is a tool used by a central bank to try and influence market expectations of future levels...
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An exchange rate is the amount of one currency that is needed to buy one unit of another currency. For...
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Forex stands for “foreign exchange” and refers to the buying or selling of one currency in exchange for...
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A central bank is an organization that manages the currency of a country or group of countries and controls...
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Yield curve control (“YCC”), also sometimes called interest rate pegs, is where bond yields are set by the...
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