I'm reading a book on swaps and author mentions in the typical attributes of swaps:
"Discount curve: For present-value calculations (say, to calculate the current market value of the swap), what interest rates will we choose? And because interest rates vary by term, and a yield curve conveys a whole set of rates at once, what yield curve shall we reference for this swap? Note that the discount curve need not be the same as the pricing curve."
What does he refer to when differenciating "pricing" and "discount" curves?
My understanding is that for the floating leg, we just source a yield of a yield curve for the calculation of accruals on coupon dates (aka "pricing" curve).
But then I get lost, would we use another yield curve for discounting (for present swap market value)? Any clarification would be helpful!