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A forward exchange market contract obligates the owner to make a trade at a specified exchange rate a fixed number of days in the future.

A forward exchange market contract obligates the owner to make a trade at a specified exchange rate a fixed number of days in the future. obligates the owner to purchase a foreign good a fixed number of days in the future. O increases the risks of doing business with a foreign country. O is most commonly used by interest rate arbitrageurs. Moving to the next question prevents changes to this apcwor

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