Data is useful for all businesses.
We hope you like this video. And please subscribe to our channel to see more videos.
https://www.youtube.com/channel/UCMMf0Z6G355HcdQkCQhCXCw?sub_confirmation=1
Most Popular Altcoins 2015 - 2021
https://youtu.be/fMh6hVlW9p4
EUR / USD Exchange Rate 2000 - 2021
https://youtu.be/5TKHpWuM3sE
Where is the foreign exchange market?
The foreign exchange market is where the currencies of different countries and regions are exchanged (bought and sold). In fact, there is no such place as a foreign exchange market. Trading is done by telephone or computer.
How does the foreign exchange market work?
The foreign exchange market is divided into two parts: the interbank market, where banks buy and sell currencies from each other, and the counter-customer market, where banks buy and sell currencies to individuals and businesses.
In the interbank market, people who want to trade directly with each other do so. In the counter-customer market, the bank acts as an intermediary and trades with individuals and companies.
Participants in the interbank market
Participants in the interbank market include central banks, exchange brokers, securities companies, short money companies and electronic broking.
Central banks
Central banks set the policy for monetary policy in their respective countries and regions. If necessary, they may intervene in the market to implement their monetary policy.
Currency brokers
Brokers buy and sell on behalf of banks. If you do not want a currency broker to act as your intermediary, you will need to find one yourself.
Short Money Companies
Intermediaries for trading. They also act as intermediaries in the call and bill markets.
Electronic Broking
A computer mediates the transaction. Electronic broking has become more popular than currency broking because of the lower commission rates and the lack of human error.
Participants in the customer market
Institutional investors, trading companies, importers and exporters, and individuals participate in the client market.
Institutional investors
These are companies that invest vast amounts of money in order to make a profit. Institutional investors, such as life and non-life insurance companies and organisations that manage pensions and investment trusts, buy and sell currency on the counterparty market.
Trading companies and import/export companies
If you are an exporter of goods, your profits will naturally be paid in foreign currency. However, this does not mean that they can pay their employees in their own country in dollars or euros, which must be converted into their own currency. On the other hand, if you are an importer of goods, you pay for the goods you import in foreign currency. If you only have your own currency on hand, you will need to convert your own currency into a foreign currency.
Personal
When you travel abroad, for example, you exchange your home currency for a foreign currency at a bank. This means that you are participating in the counter-customer market. If you deposit foreign currency at a bank, you are also participating in the customer market.
Trading hours in the foreign exchange market
The foreign exchange market is open 24 hours a day. Unlike stocks, which are traded on real stock exchanges in Tokyo, Hong Kong, London and New York, the foreign exchange market is traded over the internet and is not restricted by trading hours.
When you hear on the news, "Today, the Tokyo foreign exchange market was trading at $1.00" or "In the New York foreign exchange market", it does not mean that there is an actual place to trade, it just means that there is a city (or country) where there is a central bank that trades during that time.
#DataisMoney
#Currency
#ExchangeRate
0 Comments