Could someone clarify the notation of exchange rates across the curriculum? Euro:Dollar = .9790 - .9795
USD 0.9790/EUR bid, USD 0.9795/EUR ask. It’s a direct quotation for the EUR.
okay, a direct quote for the EUR means?? If i were to buy a EURO i’d have to pay .979 dollars, and if i have to sell an Euro then I get .9795 dollars?
pepp Wrote: ------------------------------------------------------- > okay, a direct quote for the EUR means?? > > If i were to buy a EURO i’d have to pay .979 > dollars, and if i have to sell an Euro then I get > .9795 dollars? Please tell me where this is possible. I love a free lunch. My guess is you buy at .9795 and sell at .979. The dealer makes a profit on the spread. Remember up the bid, down the ask.
A direct quote is teh price tag of what you are looking for. $1.25/Can of Soup is a direct quote for a can of soup. It’s also an indirect quote for the dollar. You know that with 0.80 Can of Soup you can get $1.