Can someone explain the stock and bond markets?

LostKoss asked:


I have a basic understanding of the stock market and mutual funds.I am just interested in learning more.Please just lay out the market basics in a couple simple paragraphs.
What is a stock?What are the classes?
What is a bond?What are the classes?
What is a treasury bill?
What is a money market fund?
What is a mutual fund?
What is an index fund?
How does commodity trading work?
How does currency trading work?
What have I missed?

Please have fun with this but only answer if you can truly help.
I know the answers to some of the questions I have asked, so that I can verify those answers and to help me look for validity in the answers to the questions I do not know.

Please do not troll, I am looking for insight in how other people than myself look at these items.

Filed Under Investing | 2 Comments

Is it a carry trade if i buy GBD/USD in the foreign exchange market and hold the position for at least one day

weng asked:


I have invested on forex market for a while and frequently heard about carry trade. As i know, this term means to buy in like Euro/Yen pair to profit from the difference between the two currency’s interest rate. The diffence in this pair’s interest rate is 3.5% now, but what about the GBD/USD pair which has only o.25% in difference?

Filed Under Other - Business & Finance | 1 Comment

Stock Market Beginner?

satarhat7 asked:


What would be a good book or internet school for a person that wants to learn to invest but has no possible idea were to start.
i would like a book that teaches you evrything about the market including. Market Terms, currency trading, internet trading, explains what hedge funds and bonds are, and tells you how to invest when starting with nothing.
I am 14 and plan to start investing within the next month
also i will be taking a general business class this year in school and i would like to excel in that class.

Filed Under Investing | 4 Comments

How to change currency into a different denomination?

zanzanevox asked:


Lets say for example, I have money in an American bank (US dollars) and would like to convert that money into British Pounds, what company or third party would allow me to convert the money into that desired currency?

PS: Not trading on the Foreign Exchange market, I would just like to convert the currency into a different denomination.

Thanks

Filed Under Personal Finance | 5 Comments

A question about FOREX?

King Money 1985 asked:


I Know NOTHING at all about Forex and would like to learn starting with the VERY basics is there a good book or website I can read up. Basically all I know about Forex is that it has to do with currency trading….

Filed Under Investing | 1 Comment

What mechanism have national governments used to protect their economies and industries from foreign competiti?

Jay asked:


What mechanism have national governments used to protect their economies and industries from foreign competition?

a)Import tariffs
b)Free trade blocs
c)Increasing the value of their currency
d)Anti-trust laws

Filed Under Economics | 1 Comment

How can I learn about options on electronically traded funds (ETF’s) on world currencies?

Rob asked:


These are being promoted by Dr. Martin Zweig, a market advisor who offers to provide information for an annual subscription fee. I would like to find out more without having to pay for a subscription newsletter.

Filed Under Investing | 2 Comments

How does momentum and volatility work together in the currency markets?

Dave aka Spider Monkey asked:


Is it better to be high momentum and high volatility or high momentum low volatility to keep up on daily currency levels that change ? I am not into trading per se but am interested in learning it . Serious inquiries only and knowledgeable enquiries only . I am trying to learn and not wasting time. Keep web sites to a minimum unless it explains completely these 2 questions.

Filed Under Investing | 1 Comment

How do you master Fundamental Analysis on Foreign Currencies?

lucstudent asked:


I know Technical Analysis for me to break-even or come out w/ a small profit as a day trader, but I quite often exit trades too early to take all the profits a trend has to offer. I know technical analysis is great for finding entry/exit points, but trends often reverse due to sudden economic announcements. How can I learn to analyze where the market will likely be heading the coming week. I don’t need a year-long forecast, just the ability to make a decent forecast of the next week is good enough.

Filed Under Investing | Leave a Comment

Not wanting to commit to fixed exchange rates, some govts occasionally use foreign currency intervention?

kimbocamp asked:


to affect the value of their currencies. This is known as a managed flexible exchange rate system, or managed float, because it combines fixed and flexible exchange rates.

The diagram below shows the market for euros, where the exchange rate is defined as U.S. dollars per euro. Suppose that the central bank for the countries in the euro system (the European Central Bank or ECB) wants to increase the value of the euro relative to the U.S. dollar. Illustrate how the ECB could achieve this without changing interest rates.

EXTRA INFO:Most countries today use flexible exchange rates. However, through the history of the international monetary system, countries have adopted different approaches to fixing exchange rates. The hope was to facilitate trade and reduce the risk associated with buying foreign goods and assets. There is still considerable debate about the merits and drawbacks of fixed exchange rates.

Filed Under Economics | 1 Comment

« go backkeep looking »