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What Is the Difference Between Spot and Forward Exchange Rates

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What is the difference between spot and forward exchange rates?


Definitions:

Consumption And Investment

The activities of spending on goods and services for current use and investing in assets for future returns.

Capital Goods Industries

Capital goods industries are sectors of the economy that produce machinery, equipment, and supplies used in the manufacturing and production of other goods rather than for direct consumption.

Business Cycle

The fluctuations in economic activity that an economy experiences over a period, ranging from expansions (growth) to recessions (contractions).

Industrial Equipment

This category involves machinery and tools used in manufacturing processes, ranging from small tools to large machinery for heavy industries, playing a crucial role in industrial operations.

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