Quantitative easing (QE) refers to a monetary policy whereby central banks purchase predetermined amounts of government bonds or other financial assets to inject liquidity directly into the economy. It is…
Continue readingForeign exchange (forex) trading has long been dominated by banks and large financial institutions. But in recent decades, access to the global currency market has opened up to retail traders…
Continue readingScalping is a popular day trading strategy that involves buying and selling assets or securities quickly – usually within seconds or minutes – to earn small but frequent profits. The…
Continue readingSpeculative attacks have become a major concern for countries operating under fixed or semi-fixed exchange rate regimes. In a speculative attack, investors and traders aggressively sell a country’s currency with…
Continue readingSpoofing is a manipulative trading tactic designed to artificially influence market prices by placing fake orders that are canceled before execution. It involves traders creating an illusion of supply or…
Continue readingSterilization is an important concept in economics and finance that refers to actions taken by central banks to neutralize or counteract the effects of external monetary flows on the money…
Continue readingA sudden stop, in economics, refers to an abrupt and unexpected halt to foreign capital inflows into a country. It typically manifests as an external financing crisis, as access to…
Continue readingA swap is a derivative contract through which two parties exchange financial instruments or cash flows. Swaps are most commonly used for hedging purposes in the finance industry. The two…
Continue readingThe 1997 Asian financial crisis was a major economic upheaval that severely impacted several Asian countries. Lasting from July 1997 to the end of 1998, it led to sharp currency…
Continue readingThe bid-ask spread is one of the most important concepts for forex traders to understand. It represents the difference between the price at which you can buy and sell a…
Continue readingThe year was 1944. World War II was still raging, but the Allied powers had gained the upper hand and were making preparations for the postwar world. A major question…
Continue readingA flash crash refers to an extremely rapid, unexpected and severe drop in the price of an asset, occurring within minutes before quickly recovering. In forex markets, flash crashes have…
Continue readingThe U.S. Commodity Futures Trading Commission (CFTC) Whistleblower Program offers monetary incentives and protections to individuals who report violations of commodities laws and regulations. Established under the Dodd-Frank Wall Street…
Continue readingThe 1997 Asian financial crisis revealed the vulnerability of Asian economies to rapid capital outflows and currency instability. In response, policymakers in East and Southeast Asia launched the Chiang Mai…
Continue readingMerchantrade Asia is a leading fintech company pioneering the growth of forex brokerages and international money transfers across Asia. Since 2018, the organization has dramatically reshaped the foreign exchange landscape…
Continue readingThe National Futures Association (NFA) plays a crucial role in regulating the U.S. derivatives industry. As the self-regulatory organization for the futures, options, and swaps markets, the NFA oversees market…
Continue readingGold has captivated humankind for thousands of years. The precious metal’s alluring color and luster, combined with its rarity, durability, and malleability have made it highly valued for use in…
Continue readingThe Dow Jones Industrial Average (DJIA), colloquially known as “the Dow”, is one of the most widely followed stock market indices in the world. As a price-weighted index that tracks…
Continue readingFinancial services play a critical role in the economy by facilitating the flow of money between individuals, businesses, and governments. As we move further into 2023, the financial services landscape…
Continue readingIntroduction The European Securities and Markets Authority (ESMA) plays a crucial role in regulating and supervising financial markets across the European Union (EU). As an independent EU Authority, ESMA works…
Continue readingThe global financial system refers to the worldwide framework of institutions, financial markets, and financial infrastructure that enable international flows of capital for investment and trade financing. In 2023, the…
Continue readingThe Exchange Stabilization Fund (ESF) is an important yet little-known entity within the U.S. government. As its name suggests, the ESF aims to stabilize the value of the U.S. dollar…
Continue readingThe fixed exchange rate system, also known as a pegged exchange rate system, is a monetary regime in which the value of a country’s currency is tied to another country’s…
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