spot price

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spot price

price of a product available for immediate delivery.
References in periodicals archive ?
Forward exchange rate contracts are used, among other things, to eliminate future spot exchange rate risk.
The focus of these approaches was mainly on whether (a) a spot exchange rate for a currency behaves as a random walk or whether the foreign exchange market is weak-form efficient (b) the forward rate for a currency is an unbiased predictor of the future spot exchange rate for that currency or whether the foreign exchange market is semi-strong form efficient and (c) there are cointegrating relationships among several currencies or whether the foreign exchange market is semi-strong form efficient.
The forward premium is the percentage difference between the forward rate and the spot exchange rate.
t+k] = logarithm of spot exchange rate at time t + k, [[eta].
which states that expected movements in the spot exchange rate reflect the expected inflation differential between the home country and foreign country.
t+1]) was obtained by forecasting the time series of the spot exchange rate under the uncovered interest parity.
It was found that there is a systematic long run relationship between the current forward exchange rate, the parity forward exchange rate and one period ahead spot exchange rate.
UIP can be expressed as the equality between the expected change in the spot exchange rate and the interest differentials of two countries.
Consequently, we can say that there is no fractional cointegration between the three spot exchange rate series.
5] While the price of options has no direct effect on spot exchange rates, speculators often purchase put options instead of shorting a weak currency.
dollar on a 12-month forward contract than, at spot exchange rates.