Eurocurrency

A A A

DEFINITION

Currency deposited by national governments or corporations in banks outside their home market. This applies to any currency and to banks in any country. For example, South Korean won deposited at a bank in South Africa, is considered eurocurrency.

Also known as "euromoney."

INVESTOPEDIA EXPLAINS

Having "euro" doesn't mean that the transaction has to involve European countries. However, in practice, European countries are often involved.


RELATED TERMS
  1. LIBOR

    LIBOR or ICE LIBOR (previously BBA LIBOR) is a benchmark rate that some of the ...
  2. European Community - EC

    The European Community is one of the three pillars of the European Union (EU). ...
  3. Eurocurrency Market

    The money market in which Eurocurrency, currency held in banks outside of the ...
  4. Euroyen

    Japanese yen-denominated deposits held in banks outside Japan. Euroyen refers ...
  5. Eurodollar Bond

    A U.S.-dollar denominated bond issued by an overseas company and held in a foreign ...
  6. Eurocredit

    A loan whose denominated currency is not the lending bank's national currency. ...
  7. Eurobank

    A financial institution that accepts foreign currency denominated deposits and ...
  8. Eurobond

    A bond issued in a currency other than the currency of the country or market ...
  9. Eurodollar

    U.S.-dollar denominated deposits at foreign banks or foreign branches of American ...
  10. London Interbank Bid Rate - LIBID

    The average interest rate which major London banks borrow Eurocurrency deposits ...
Related Articles
  1. A Primer On The Forex Market
    Options & Futures

    A Primer On The Forex Market

  2. Getting Started In Forex
    Options & Futures

    Getting Started In Forex

  3. Are eurodollars related to the currency ...
    Forex

    Are eurodollars related to the currency ...

  4. The Money Market
    Retirement

    The Money Market

  5. How Countries Deal With Debt
    Credit & Loans

    How Countries Deal With Debt

  6. What does the Daily Average Revenue ...
    Investing Basics

    What does the Daily Average Revenue ...

  7. How Visa Counts On Your Free-Spending ...
    Stock Analysis

    How Visa Counts On Your Free-Spending ...

  8. How To Trade Credit Card Stocks
    Chart Advisor

    How To Trade Credit Card Stocks

  9. Taking Advantage of Pessimism
    Economics

    Taking Advantage of Pessimism

  10. Where The Equity Opportunities Are
    Economics

    Where The Equity Opportunities Are

comments powered by Disqus
Hot Definitions
  1. XW

    A symbol used to signify that a security is trading ex-warrant. XW is one of many alphabetic qualifiers that act as a shorthand to tell investors key information about a specific security in a stock quote. These qualifiers should not be confused with ticker symbols, some of which, like qualifiers, are just one or two letters.
  2. Quanto Swap

    A swap with varying combinations of interest rate, currency and equity swap features, where payments are based on the movement of two different countries' interest rates. This is also referred to as a differential or "diff" swap.
  3. Genuine Progress Indicator - GPI

    A metric used to measure the economic growth of a country. It is often considered as a replacement to the more well known gross domestic product (GDP) economic indicator. The GPI indicator takes everything the GDP uses into account, but also adds other figures that represent the cost of the negative effects related to economic activity (such as the cost of crime, cost of ozone depletion and cost of resource depletion, among others).
  4. Accelerated Share Repurchase - ASR

    A specific method by which corporations can repurchase outstanding shares of their stock. The accelerated share repurchase (ASR) is usually accomplished by the corporation purchasing shares of its stock from an investment bank. The investment bank borrows the shares from clients or share lenders and sells them to the company.
  5. Microeconomic Pricing Model

    A model of the way prices are set within a market for a given good. According to this model, prices are set based on the balance of supply and demand in the market. In general, profit incentives are said to resemble an "invisible hand" that guides competing participants to an equilibrium price. The demand curve in this model is determined by consumers attempting to maximize their utility, given their budget.
  6. Centralized Market

    A financial market structure that consists of having all orders routed to one central exchange with no other competing market. The quoted prices of the various securities listed on the exchange represent the only price that is available to investors seeking to buy or sell the specific asset.
Trading Center