Question

Angelica works at ABC bank. She continuously buys and sells Euros at prices quoted to banks, corporations, and other financial institutions. James contacts her and asks what the market price is in EUR/USD. Angelica responds with a two-way quote of 1.1310-1.3 that represents the price the bank is willing to purchase/sell euros for at the moment. Angelica is a Market Maker Institutional Investor Corporation.

          Angelica works at ABC bank. She continuously buys and sells Euros at prices quoted to banks, corporations, and other financial institutions. James contacts her and asks what the market price is in EUR/USD. Angelica responds with a two-way quote of 1.1310-1.3 that represents the price the bank is willing to purchase/sell euros for at the moment. Angelica is a Market Maker Institutional Investor Corporation.
        
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Principles of Economics
Principles of Economics
Gregory Mankiw 8th Edition
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Angelica works at ABC bank. She continuously buys and sells Euros at prices quoted to banks, corporations, and other financial institutions. James contacts her and asks what the market price is in EUR/USD. Angelica responds with a two-way quote of 1.1310-1.3 that represents the price the bank is willing to purchase/sell euros for at the moment. Angelica is a Market Maker Institutional Investor Corporation.
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Transcript

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00:01 Hi, condrea conjuli is a concurrency speculator who enjoys betting on changes in the foreign currency exchange market.
00:07 Currently, the spot price for the japanese yen is 129 .87 yen, and the six -month forward rate is 128 .53 yen.
00:19 Andrea thinks the yen will move to 128 in the next six months.
00:24 If andrea's expectations are correct, then she could profit in the forward market by buying yen with us dollars or really other foreign currency.
00:34 Okay, so you want to buy it now and then at a later date, sell the yen for dollars or whatever foreign currency.
00:43 I'm in america, so i'm using dollars, okay? if you're in england, you use your pounds or in india, use rupees or whatever you're at, right? the reason for what i wrote is the lowering cost of the end means it is getting stronger, probably compared to the u .s.
00:58 Dollar...
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