Question : What is the term used to describe the difference between the buying and selling price of a currency in the foreign exchange market?

Option 1: Exchange rate spread

Option 2: Exchange rate volatility
  

Option 3: Exchange rate risk

Option 4: Exchange rate peg

Question : The difference between the buying and selling price of a currency in the foreign exchange market is known as the ________.

Option 1: exchange rate spread
 

Option 2: bid-ask spread
 

Option 3: spot rate spread

Option 4: forward rate spread

Question : In the foreign exchange market, what does the term "spread" refer to?

Option 1: The difference between the bid and ask prices
  

Option 2: The difference between the spot and forward rates
 

Option 3: The difference between the current and historical exchange rates

Option 4: The difference between the domestic and foreign interest rates

Question : Open market operations refer to the:

Option 1: Buying and selling of government securities by the central bank
    

Option 2: Buying and selling of goods and services in the international market
 

Option 3: Buying and selling of stocks and bonds in the financial market

Option 4: Buying and selling of foreign currencies in the foreign exchange market

Question : In the foreign exchange market, the term "bid" refers to:

Option 1: The price at which a currency is sold
 

Option 2: The price at which a currency is bought
 

Option 3: The difference between buying and selling prices

Option 4: The rate at which interest is charged on a loan