A money market hedge is a technique used to lock in the value of a foreign currency transaction in a company’s domestic ...

James Chen, CMT is an expert trader, investment adviser, and global market strategist. Gordon Scott has been an active investor and technical analyst or 20+ years. He is a Chartered Market Technician ...

Currency arbitrage refers to the practice of taking advantage of exchange rate differences in various foreign exchange market venues to make a net profit. Currency arbitrage plays a significant role ...

Today’s economic reality includes a world of free-floating fiat currencies, where the value of a nation’s currency is determined by supply and demand in the global foreign exchange or forex market.

Many countries go to great lengths to manage their exchange rates. Probably the most prominent recent example is the European Monetary Union, where all the members abandoned their national currencies ...

Risk-management practices at financial institutions have undergone a quantitative revolution over the past decade or so. Increasingly, financial firms rely on statistical models to measure and manage ...

We recently published a leader and briefing in which we argued that Taiwan’s weak-currency policy is punishing consumers and storing up financial risk. The central bank, known as the CBC, has written ...

Interest rate swaps are used by institutions and businesses to manage cash flows and interest rate exposure. Swaps involve the exchange of cash flows between two parties, with an intermediary handling ...

I traveled to Argentina for two weeks in February. While in Buenos Aires, the capital, I learned of a system of multiple exchange rates for Argentine pesos. The "blue dollar" exchange rate set by the ...