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Three characteristics of foreign exchange

Victor by Victor
21/12/2022
in Knowledge
Three characteristics of foreign exchange
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First, foreign exchange has the nature of foreign currency, foreign exchange funds are more foreign use.

As the name implies, foreign exchange certainly has some relationship with assets that are not domestic currency.

For example, the currency of other countries, are a kind of foreign exchange assets.

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Second, foreign exchange is liquid and can be recognized around the world.

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Because the currency in the foreign exchange can be exchanged in each country into its own currency.

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For example, to, in this case, can reflect the liquidity of foreign exchange.

Moreover, the currency exchanged for foreign exchange also has the nature of money and the function of payment.

Third, foreign exchange is compensable and can be used to repay debts.

This feature is caused by the liquidity of foreign currency, because foreign exchange assets do not refer to a currency, so foreign exchange can also be used to repay investors’ debt problems.

Gold held steady near 1,820 as the dollar rose, while oil rose to its highest in more than three years.

Please pay attention to the specific operation, the market is changing rapidly, investment needs to be cautious, the operation strategy is for reference only.

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