In the financial history of trade and commerce, Forex rates are relatively new phenomena. From the classic olden days, precious metals like gold and silver were a common medium of exchange, through out the countries of Europe and eastern Mediterranean. For example, the English merchants in the 14th century used to sell wool to Flanders; in exchange, they used to get gold and silver coins. Mysterious Variety of coins was in circulation, in various parts of Europe. On the other hand, someone looking to sell dollar and buy sterling would expect sterling to weaken against the dollar. Then in terms of sterling, value of US dollar will become more, if he or she holds. FX market is one of the largest markets globally. On an estimate, every day worth 2 trillion USD currency changes hands. In some cases, the exchange rate is being quoted and traded today but makes the delivery and payments, on another specific future date. These are referred as Forward exchange. The F
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