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Day Trader
Speculators who take positions in commodities which are then liquidated prior to the close of the same trading day.
Day Trading
Refers to opening and closing the same position or positions within one day's trading.
Deal Date
The date on which a transaction is agreed upon.
Deal Ticket
The primary method of recording the basic information relating to a transaction.
Dealer
One who, as opposed to a broker, acts as a principle in all transactions, buying and selling for its own accounts.
Deflator
Difference between real and nominal Gross National Product, which is equivalent to the overall inflation rate.
Delivery Date
The date of maturity of the contract, when the exchange of the currencies is made This date is more commonly known as the value date in the FX or Money markets.
Delivery Risk
A term to describe when a counterparty will not be able to complete his side of the deal, although willing to do so.
Delta
For options, also called the neutral hedge ratio. Expresses the expected change in the option price, given a one-unit change in the price of the underlying contract.
Depreciation
A fall in the value of a currency due to market forces rather than due to official action.
Derivative
Financial instruments, such as futures and options, which derive their value from underlying securities including bonds, bills, currencies, and equities.
Desk
Term referring to a group dealing with a specific currency or currencies.
Details
All the information required to finalize a foreign exchange transaction, i.e. name, rate, dates, and point of delivery.
Devaluation
Deliberate downward adjustment of a currency against its fixed parities or bands, normally by formal announcement.
Direct Quotation
Quoting in fixed units of foreign currency against variable amounts of the domestic currency.
Dirty Float
Floating a currency when the rate is controlled by intervention by the monetary authorities.
Discount
Cheaper than the spot price, e.g., forward discount.
Dollar Rate
When a variable amount of a foreign currency is quoted against one unit of the US dollar, regardless of where the dealer is located or in what currency he is requesting a quote. The major exception is the UK sterling/US dollar rate cable which is quoted as units of the US dollar to UK sterling. |
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