Solved

Traders on the Foreign Exchange Market Use ___________ to Eliminate

Question 6

Multiple Choice

Traders on the foreign exchange market use ___________ to eliminate or cover the risk of loss on export or import orders denominated in foreign currencies.


A) currency options
B) forward contracts
C) money-market hedges
D) currency futures contracts

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q1: When exchange rates are quoted as the

Q2: American terms refers to the<br>A)number of U.S.dollars

Q3: currency transactions are channeled through the worldwide

Q4: Suppose the spot direct quotes for the

Q5: Suppose the spot rate and forward rate

Q7: The risk that a central bank will

Q8: Suppose it is 1990 and the spot

Q9: Suppose the spot direct quotes for the

Q10: Hedgers,mostly _,engage in forward contracts on the

Q11: Suppose it is January 1980 and the