Multiple Choice
The effect of speculation on exchange rate is
A) It causes violent fluctuations in exchange rate.
B) It aggravates the market trends.
C) Either or both of A and B.
D) Neither A nor B.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q7: If PPP holds<br>A)The nominal exchange rate will
Q8: India is facing continuous deficit in its
Q9: For the balance kept in the margin
Q10: An option at-the-money when<br>A)The strike price is
Q11: Banks permitted to run option book is
Q13: For contingency exposure of foreign exchange, the
Q14: The forward US dollar is quoted at
Q15: Indirect rate in foreign exchange means<br>A)The rate
Q16: The maxim 'buy low; sell high' is
Q17: Maintaining a foreign currency account is helpful