As a travel business, you are probably wondering about what causes currency exchange rates to change. At one time, you get more value for your local currency, and on another day, an unfavorable deal for the same amount of your local money. The truth is that currency exchange rates are very dynamic and can change […]
Foreign exchange reserves are the foreign assets or currencies held by the central bank of a particular country. The respective central banks often use the reserves to back their liabilities and influence monetary policies. So, they can manage their currency values. The assets in the foreign exchange reserves are denominated in foreign currencies and not […]
If you plan to exchange currency or trade on the foreign exchange market, it’s essential to understand its features. As the largest market in the world, the forex market facilitates currency transactions worth trillions of U.S. dollars (most traded currency globally). The foreign exchange market has several participants, including forex dealers, central banks, commercial companies, […]
Inflation and currency exchange rates are directly related. Any change in inflation rates will affect the exchange rates positively or negatively. Inflation is the sustained increase in the costs of goods and services at a given time and can affect a country’s economy. Every country’s central bank sets its inflation threshold that it doesn’t wish […]
A foreign exchange swap is an agreement between two parties involving simultaneous borrowing and lending. The swaps help protect the parties involved from fluctuating exchange rates. Investors who want to hedge currency exchange risks use the swaps. Also known as FX swap, foreign exchange consists of two contracts. A spot transaction completed immediately it takes […]
Do banks exchange currency? Yes. Banks are among the most prominent financial institutions that provide currency exchange services in Canada. Whether you want to convert money for personal use or business operations, you can get help from banks. There’s no doubt that banks are reputable financial institutions that exchange foreign currencies into Canadian dollars and […]
Canadian dollar’s downward trajectory against the USD started in 2015 when the loonie sunk significantly against the U.S. dollar. Since then, it has become very difficult for the CAD to surpass the USD. Several factors have contributed to the CAD’s weakness against the USD, including the plunging oil prices. Economic factors such as inflation […]
Experts have perhaps advised you to check the spot rate before exchanging currencies, and you are wondering, “What is a spot rate?” The truth is, foreign exchange rates can be very confusing. You’ll come across terms like the “mid-market rate” or “interbank rate.” Before you make any international funds transfer or exchange currency, you need […]
Fluctuations in foreign exchange rates can affect the number of remittances transferred to another part of a different country. While any payment of a bill or an invoice can be a remittance, the term is mainly used nowadays to refer to the money sent overseas. If you live or work abroad and want to send […]
The Covid-19 pandemic has significantly impacted financial markets, and perhaps you are wondering, “Is Canadian forex safe?” For the past few weeks, the coronavirus has affected forex trading, and nearly all currencies plunged, including the Canadian dollar. What happened on the forex market in the past few months is an excellent example of how external […]
AUD
CAD
EUR
GBP
NZD
USD
