Timeline for Carry trade by trading FX Futures
Current License: CC BY-SA 4.0
10 events
| when toggle format | what | by | license | comment | |
|---|---|---|---|---|---|
| Jan 15, 2022 at 21:42 | comment | added | SuavestArt | I think I finally got this right. Thank you. | |
| Jan 15, 2022 at 20:48 | comment | added | AlRacoon | @Rafael. That is correct. If USD rates rise more than AUD rates, the USD will appreciate vs the AUD and the investor that is long AUD will lose. | |
| Jan 15, 2022 at 20:16 | comment | added | SuavestArt | You said "The amount that the investor would set aside would be earning the USD term interest rate to the future date". So this is the same as the long AUD/ short USD position to be paying its counterparty the USD interest rate over the PV of the USD notional to be sold in the future. So a higher USD interest rate is worse to the long AUD investor. Is that correct? | |
| Jan 13, 2022 at 16:25 | vote | accept | SuavestArt | ||
| Jan 13, 2022 at 15:25 | comment | added | AlRacoon | @Rafael Edited response to address your edited question | |
| Jan 13, 2022 at 15:24 | history | edited | AlRacoon | CC BY-SA 4.0 |
Response to edited question by OP
|
| Jan 13, 2022 at 13:23 | comment | added | SuavestArt | Thanks for this very clear explanation. I`ve edited my question. | |
| Jan 6, 2022 at 23:28 | history | edited | AlRacoon | CC BY-SA 4.0 |
deleted 23 characters in body
|
| Jan 6, 2022 at 20:56 | history | edited | AlRacoon | CC BY-SA 4.0 |
added 402 characters in body
|
| Jan 6, 2022 at 20:39 | history | answered | AlRacoon | CC BY-SA 4.0 |