FX UPDATED SCRIPT 2026 PRACTICE SOLUTIONS GRADED A+

FX UPDATED SCRIPT 2026 PRACTICE
SOLUTIONS GRADED A+

● International credit market. Answer: Medium/long term loans from
financial institutions (e.g., banks)


● International bond market. Answer: Capital raised through bond
markets


● International stock markets. Answer: Capital raised through stock
markets


● The foreign exchange market. Answer: is a global decentralized, or
over-the-counter
(OTC), market for the trading of currencies
No centralized market, no physical location
The "market" is a network of dealers


● the largest and
most active
financial market. Answer: The FX market


● When is the FX market active. Answer: It is open

, somewhere in the
world 24 hours a
day, 365 days a year


● Products Traded In
The FX Market. Answer: spot, outright forwards, FX swaps, currency
swaps, options and other products


● Turnover. Answer: is the gross value of all new deals entered into
during a given period, and is
measured in terms of the nominal or notional amount of the contracts


● Spot. Answer: Exchange of two currencies at a specified rate for
immediate delivery (cash settlement within two
business days


● Outright forward. Answer: Exchange of two currencies at a specified
rate for future delivery


● FX swap. Answer: A contract that commits two counterparties to
exchange streams of cash flows in different
currencies for an agreed period of time
FX Swaps