Abstract
In this chapter the concept of the FX swaps curve is introduced. Gapping in the foreign exchange market provides a means of taking advantage of expected changes in swap rates that reflect interest differentials. The profitability of an FX gap is also affected by changes in the spot rate whilst a gap is open.
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© 2003 Steve Anthony
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Anthony, S. (2003). The FX Swaps Curve and Gapping in the Foreign Exchange Market. In: Foreign Exchange in Practice. Finance and Capital Markets Series. Palgrave Macmillan, London. https://doi.org/10.1057/9781403914552_9
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DOI: https://doi.org/10.1057/9781403914552_9
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-50788-7
Online ISBN: 978-1-4039-1455-2
eBook Packages: Palgrave Economics & Finance CollectionEconomics and Finance (R0)