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forward exchange rate

Meaning of "forward exchange rate" in the English dictionary

DICTIONARY

PRONUNCIATION OF FORWARD EXCHANGE RATE

ˈfɔːwəd ɪksˈtʃeɪndʒ reɪt


GRAMMATICAL CATEGORY OF FORWARD EXCHANGE RATE

noun
adjective
verb
adverb
pronoun
preposition
conjunction
determiner
exclamation
Forward exchange rate is a noun.
A noun is a type of word the meaning of which determines reality. Nouns provide the names for all things: people, objects, sensations, feelings, etc.

WHAT DOES FORWARD EXCHANGE RATE MEAN IN ENGLISH?

Forward exchange rate

The forward exchange rate is the exchange rate at which a bank agrees to exchange one currency for another at a future date when it enters into a forward contract with an investor. Multinational corporations, banks, and other financial institutions enter into forward contracts to take advantage of the forward rate for hedging purposes. The forward exchange rate is determined by a parity relationship among the spot exchange rate and differences in interest rates between two countries, which reflects an economic equilibrium in the foreign exchange market under which arbitrage opportunities are eliminated. When in equilibrium, and when interest rates vary across two countries, the parity condition implies that the forward rate includes a premium or discount reflecting the interest rate differential. Forward exchange rates have important theoretical implications for forecasting future spot exchange rates. Financial economists have put forth a hypothesis that the forward rate accurately predicts the future spot rate, for which empirical evidence is mixed.

Definition of forward exchange rate in the English dictionary

The definition of forward exchange rate in the dictionary is the exchange rate of a currency to be delivered at a later date.

WORDS THAT RHYME WITH FORWARD EXCHANGE RATE

accelerate · celebrate · collaborate · concentrate · crate · decorate · demonstrate · flat-rate · freight · generate · great · illustrate · incorporate · integrate · operate · rate · separate · straight · substrate · trait

WORDS THAT BEGIN LIKE FORWARD EXCHANGE RATE

forward · forward bias · forward buying · forward contract · forward delivery · forward exchange market · forward gear · forward integration · forward line · forward market · forward pass · forward planning · forward post · forward quotation · forward rate · forward roll · forward sale · forward slash · forward voltage · forward-looking

WORDS THAT END LIKE FORWARD EXCHANGE RATE

accurate · at any rate · base lending rate · base rate · basic rate · bit rate · call rate · exchange rate · flat rate · heart rate · higher rate · hit rate · infant mortality rate · infection rate · interest rate · metabolic rate · mortality rate · mortgage rate · tax rate · unemployment rate · VAT rate

Synonyms and antonyms of forward exchange rate in the English dictionary of synonyms

SYNONYMS

Translation of «forward exchange rate» into 25 languages

TRANSLATOR

TRANSLATION OF FORWARD EXCHANGE RATE

Find out the translation of forward exchange rate to 25 languages with our English multilingual translator.

The translations of forward exchange rate from English to other languages presented in this section have been obtained through automatic statistical translation; where the essential translation unit is the word «forward exchange rate» in English.
zh

Translator English - Chinese

远期汇率
1,325 millions of speakers
es

Translator English - Spanish

tipo de cambio forward
570 millions of speakers
en

English

forward exchange rate
510 millions of speakers
hi

Translator English - Hindi

आगे विनिमय दर
380 millions of speakers
ar

Translator English - Arabic

سعر الصرف الآجل
280 millions of speakers
ru

Translator English - Russian

курс форвард
278 millions of speakers
pt

Translator English - Portuguese

taxa de câmbio a termo
270 millions of speakers
bn

Translator English - Bengali

ফরওয়ার্ড বিনিময় হার
260 millions of speakers
fr

Translator English - French

taux de change à terme
220 millions of speakers
ms

Translator English - Malay

Kadar pertukaran hadapan
190 millions of speakers
de

Translator English - German

Devisenterminkurs
180 millions of speakers
ja

Translator English - Japanese

先物為替相場
130 millions of speakers
ko

Translator English - Korean

앞으로 환율
85 millions of speakers
jv

Translator English - Javanese

Tingkat kurs nerusake
85 millions of speakers
vi

Translator English - Vietnamese

tỷ giá kỳ hạn
80 millions of speakers
ta

Translator English - Tamil

முன்னோக்கி மாற்று விகிதம்
75 millions of speakers
mr

Translator English - Marathi

फॉरवर्ड एक्सचेंज दर
75 millions of speakers
tr

Translator English - Turkish

Vadeli döviz kuru
70 millions of speakers
it

Translator English - Italian

tasso di cambio a termine
65 millions of speakers
pl

Translator English - Polish

kurs terminowy
50 millions of speakers
uk

Translator English - Ukrainian

курс форвард
40 millions of speakers
ro

Translator English - Romanian

Rata de schimb la termen
30 millions of speakers
el

Translator English - Greek

προθεσμιακή συναλλαγματική ισοτιμία
15 millions of speakers
af

Translator English - Afrikaans

vorentoe wisselkoers
14 millions of speakers
sv

Translator English - Swedish

terminskurs
10 millions of speakers
no

Translator English - Norwegian

terminkursen
5 millions of speakers

Trends of use of forward exchange rate

TRENDS

TENDENCIES OF USE OF THE TERM «FORWARD EXCHANGE RATE»

Principal search tendencies and common uses of forward exchange rate
List of principal searches undertaken by users to access our English online dictionary and most widely used expressions with the word «forward exchange rate».

Examples of use in the English literature, quotes and news about forward exchange rate

EXAMPLES

10 ENGLISH BOOKS RELATING TO «FORWARD EXCHANGE RATE»

Discover the use of forward exchange rate in the following bibliographical selection. Books relating to forward exchange rate and brief extracts from same to provide context of its use in English literature.
1
Exchange Rate Arrangements and Currency Convertibility: ...
R. B. Johnston, Mark Swinburne. establishment of codes of conduct for dealings among market participants and the imposition of information technology to facilitate interbank dealings; the strengthening of payments and clearing arrangements ...
R. B. Johnston, Mark Swinburne, 1999
2
Exchange-Rate Determination
Anne O. Krueger. operations affecting the domestic rate of interest must also lead to an alteration in the premium on forward exchange.31 We already have, from equation (4. 1 1 ), that the forward- spot relationship must satisfy the ...
Anne O. Krueger, 1983
3
Introduction to Corporate Finance: What Companies Do
The price at which that future trade will take place is called the forward exchange rate. For example, a U.S. trader wishing to exchange dollars for British pounds could do so on Thursday, February 10, at the spot exchange rate of $1.6092/£ (or  ...
John Graham, Scott Smart, 2011
4
The Economics of Foreign Exchange and Global Finance
... be £20.27 million, a 1.47 million extra of pound sterling or 7% more than the payment if the exchange rate were kept unchanged. Therefore, the importer decides to enter into a forward contract with a forward exchange rate being € 1.4423/£.
Peijie Wang, 2009
5
Issues in International Exchange and Payments Systems
As a result, all industrial countries other than Iceland now have market- determined forward exchange rate systems. In addition, a number of countries have removed restrictions on forward cover activities, such as access restrictions,  ...
Peter J. Quirk, 1995
6
Policies for Developing Foreign Exchange Markets; Occ. Paper
A number of industrial countries have in recent years introduced market- determined forward exchange rate systems (Finland and Ireland in 1980; Australia and New Zealand in 1983) or have taken major steps to broaden access to their ...
Peter J. Quirk, 1988
7
International Logistics: The Management of International ...
Forward Exchange Rates The second type of exchange rate is the forward exchange rate, or the exchange rate for a foreign currency to be delivered any number of days in the future. Financial newspapers such as the Wall Street Journal often ...
Pierre A. David, Richard D. Stewart, 2010
8
Dictionary of Financial Risk Management
Specifically, the forward exchange rate for a period equals the spot exchange rate multiplied by the ratio of l plus the domestic rate to l plus the foreign rate. See Covered Interest Arbitrage. Forward Exchange Agreement (FXA): A contract ...
‎1999
9
International Economics Two
In order to compare these three alternatives9, besides the domestic and foreign interest rates, we must also know the exact amount of the divergence between the forward exchange rate and the ( current ) spot exchange rate. For this we need ...
Giancarlo Gandolfo, 1995
10
Exchange Rate Economics
In particular, the forward market provides a way of arranging in advance to convert domestic currency into foreign currency, or vice versa, on the future payment date at a prespecified forward exchange rate. In developing a theory of how the ...
Peter Isard, 1995

10 NEWS ITEMS WHICH INCLUDE THE TERM «FORWARD EXCHANGE RATE»

Find out what the national and international press are talking about and how the term forward exchange rate is used in the context of the following news items.
1
Integrated Research Limited reports: What you need to know
... by the falling Australian Dollar, however the benefit of the currency devaluation was to some extent offset by forward exchange rate contracts. «Motley Fool Australia, Jul 15»
2
Euro outlook and investment strategy
The forward exchange rate market constitutes a relatively strong forecast of future exchange rates. Forwards are bought for hedging and for ... «Times of Malta, May 15»
3
China Biologic Reports Financial Results for the First Quarter of 2015
... negatively impacted by approximately 4% to 5% by applying a current twelve-month forward exchange rate projection of RMB6.41 = $1.00. «PR Newswire, May 15»
4
What RBC Analysts Are Watching In The Auto Space Ahead Of …
... on a U.S. dollar exchange rate of 1.20 versus the euro, potentially causing issues given the analyst's go-forward exchange rate of only 1.05. «Benzinga, Apr 15»
5
XMA and Viglen reveal currency fears
The forward exchange rate exposure unhedged is therefore limited to one month's sales." XMA also pointed to currency fluctuations as a risk in ... «CRN - UK, Mar 15»
6
How Cheap Are Buffett's Euro Bonds?
The forward exchange rate is determined by a parity relationship among the spot exchange rate and differences in interest rates between two ... «Bloomberg View, Mar 15»
7
Negative Yields: Macro And Investment Perspectives
... negative yield spread with another one, the forward exchange rate will price a forthcoming appreciation. Any carry trade strategy bets against ... «Seeking Alpha, Mar 15»
8
China Biologic Reports Financial Results for the Fourth Quarter and …
... negatively impacted by approximately 4% to 5% by applying a current twelve-month forward exchange rate projection of RMB6.41 = $1.00. «PR Newswire, Mar 15»
9
Visa (V) Earnings Report: Q1 2015 Conference Call Transcript
Based on the December 31, forward exchange rate, we project an incremental 50 basis points negative impact on our full-year revenue growth. «TheStreet.com, Jan 15»
10
Visa's (V) CEO Charles Scharf on Q1 2015 Results - Earnings Call …
Based on the December 31, forward exchange rate, we project an incremental 50 basis points negative impact on our full-year revenue growth. «Seeking Alpha, Jan 15»
REFERENCE
« EDUCALINGO. Forward exchange rate [online]. Available <https://educalingo.com/en/dic-en/forward-exchange-rate>. May 2024 ».
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