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Contens
Abstract II
Ⅰ. What is the foreign exchange market? 1
Ⅱ. Main functions of the foreign exchange market 3
Ⅲ. For example 5
Ⅳ.The development of Chinas foreign exchange market 9
Ⅴ.We learn the main role of foreign exchange market knowledge 16
Ⅵ.Conclusion 18
Reference 21
Main functions of the foreign exchange market
Abstract：Before the general understanding of the foreign exchange market is only the concept of a foreign currency, however, after several periods of evolution, it is to in order to understand the general people, and has been applied to foreign exchange transactions for financial instruments. To hold the dollar, basically you have chose not to hold the currency of other countries, because you buy stocks, bonds and other investments or bank account deposits take us dollar as a unit. As a result of the appreciation or depreciation of the dollar, it may affect the value of your assets, thereby affecting the overall financial position. So, there are a lot of smart investors to make good use of the characteristics of the exchange rate of foreign exchange, foreign exchange transactions and profit from. Understanding of foreign exchange market function can also help us to get the maximum profit and risk aversion.
Keywords：Foreign exchange market; the main function;forward exchange rate;spot rate;exchange rate; exchange rate,;currency
Ⅰ. What is the foreign exchange market?
Foreign exchange market is a trading place for foreign exchange trading, or in a variety of different currencies.
International trade, investment, tourism and other economic relations, the total can not help but produce money. But with a different international monetary system, to payment in a foreign country, we must first of their own money to buy foreign currency; another, received from abroad in foreign currency payment vouchers must also converted into domestic currency in domestic circulation. This has occurred in the domestic currency and foreign currency exchange. The proport
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