Question: What is a common difference in purpose between spot trades and FX swaps? Spo trades and F X swaps are both used for short -
What is a common difference in purpose between spot trades and FX swaps?
Spo trades and X swaps are both used for shortterm investments in foreign currencies
Spot trades always involve the exchange ofphysical goods, while FX swaps involve the exchange of currencies.
Spot trades are used for immediate currency transactions while FX swaps are used to defer the maturity of these transactions.
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