Technical Note
EXCHANGE RATES (A) - TECHNICAL NOTE
INDUSTRY :FINANCIAL INSTRUMENTS
AREA :BUSINESS GOVT/INTERNATIONAL ECONOMY
ORGANIZATION :-
LENGTH :11
LUMS No :16-128-88-2
PUBLICATION YEAR : 1988
DESCRIPTION
ABSTRACT:
The purpose of this session is to familiarize students with: (i) the basic operation of the spot and forward foreign exchange markets including the concepts of buying consistency of cross rates and exchange rate and interest rate arbitrage; and (ii) the concept of exchange risk and exchange rate fluctuations, including hedging and speculation. The note also describes Pakistan’s exchange cover facilities.