What is a commodity market

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a) What is a Commodity Market; state the three (3) investment characteristics of commodities.

b) Investor can resort to a number of tactics in order to benefit from currency movement. State and explain two such tactics.

c) Explain the two ways an investor can invest in Commodities

d) Assuming that the demand curve for British pounds in terms of the U.S. dollar is a normal downward sloping demand curve. Explain what would happen in terms of the demand for British goods and also value of the British Pounds.

e) If the USD/CAD exchange rate is 1.0950 and the bank states and exchange rate of 1.12 what is the bank's percentage mark-up?

f) If the CAD/USD exchange rate is 0.9132 and the bank states and exchange rate of 0.9382 what is the bank's percentage mark-up?

Reference no: EM133084066

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