Decoding Forward Points: A Comprehensive Guide to Range Forward Contracts

For example, if a central bank raises its benchmark interest rate, it may lead to an appreciation of the currency as investors seek higher yields. This could cause a shift in the value of the forward points or discount spreads for that particular currency. Overall, mastering the intricacies of forward premiums and discounts allows traders …

Decoding Forward Points: A Comprehensive Guide to Range Forward Contracts Read More »