A foreign exchange trader with a U.S. bank took a short position of £5,000,000 when the $£ exchange rate was 1.14. Subse

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A foreign exchange trader with a U.S. bank took a short position of £5,000,000 when the $£ exchange rate was 1.14. Subse

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A Foreign Exchange Trader With A U S Bank Took A Short Position Of 5 000 000 When The Exchange Rate Was 1 14 Subse 1
A Foreign Exchange Trader With A U S Bank Took A Short Position Of 5 000 000 When The Exchange Rate Was 1 14 Subse 1 (15.78 KiB) Viewed 48 times
A foreign exchange trader with a U.S. bank took a short position of £5,000,000 when the $£ exchange rate was 1.14. Subsequently, the exchange rate has changed to 119. Is this movement in the exchange rate good from the point of view of the position taken by the trader? By how much has the bank's liability changed because of the change in exchange rate? Is this movement good from the trader's position? Change in bank's liability
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