What Is the Difference Between Forward and Spot Exchange Rate

question 75

Essay

What is the difference between forward and spot exchange rate rates?

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Definitions:

Valid

Logically sound, where the conclusion necessarily follows the premises without any logical fallacies.

Premises

Statements or propositions that are presupposed and provide support for a conclusion in an argument.

Inductive Argument

A form of reasoning where the conclusion is supported by the premises but is not guaranteed to be true.

Deductive Argument

A logical process where the conclusion is based on the concordance of multiple premises that are generally considered to be true.