Exchange Rate

	Definition of 'Exchange Rate' The price of one country's currency expressed in another country's currency. In other words, the rate at which one currency can be exchanged for another. For example, the higher the exchange rate for one euro in terms of one yen, the lower the relative value of the yen.
	Investopedia explains 'Exchange Rate' In most financial papers, currencies are expressed in terms of U.S. dollars, while the dollar is commonly compared to the Japanese yen, the British pound and the euro. As of the beginning of 2006, the exchange rate of one U.S. dollar for one euro was about 0.84, which means that one dollar can be exchanged for 0.84 euros.

Related Definitions

Currency Exchange: Floating Rate Vs. Fixed Rate

Baffled by exchange rates? Wonder why some currencies fluctuate while others are pegged? This article has the answers.
Market Makers Vs. Electronic Communications Networks

Learn the pros and cons of trading forex through these two types of brokers.
Dual And Multiple Exchange Rates 101

Why would a country choose to implement dual or multiple exchange rates? It's risky, but it can work.
Protect Your Foreign Investments From Currency Risk

Hedging against currency risk can add a level of safety to your offshore investments.
A Primer On The Forex Market

Moving from equities to currencies requires you to adjust how you interpret quotes, margin, spreads and rollovers.
Getting Started In Forex

Before entering this market, you should define what you need from your broker and from your strategy.
Microeconomics

This tutorial teaches the basics of one of the most important economic topics. A must for all investors.
When and why did the euro make its debut as a currency?
How is rollover interest calculated?
What's the relationship between a country's currency and the strength of its economy?

Why Americans Think Bush Is To Blame For The Economy	The Complete Guide To Calculating Your Net Worth		Top Investment Trends For 2013	5 Viable Career Options In 2013
	How Do Internet Browsers Make Money?	Commodities Of The Future	Trending Stocks And The January Effect