Page 1 of 1 [ 3 posts ] 

digger1
Veteran
Veteran

User avatar

Joined: 12 Sep 2007
Gender: Male
Posts: 3,485

23 Sep 2007, 9:46 pm

What would it be called if someone converted like a million dollars (US) into some other country's money - something that is worth the same as a US dollar and waited until the value of that other currency went up slightly and then reconverted it back to USD making a little bit off the exchange?

I mean, if you converted $1,000,000 into let's say the Yen and waited for it to go up two cents and then converted it back to USD, you'd make like $20,000.



klick
Blue Jay
Blue Jay

User avatar

Joined: 2 May 2007
Age: 37
Gender: Male
Posts: 88
Location: Rochester, New York

23 Sep 2007, 10:00 pm

I believe that is called currency speculation. It works in much the same way as buying and selling stock.



littlesmiley
Pileated woodpecker
Pileated woodpecker

User avatar

Joined: 26 Sep 2006
Gender: Male
Posts: 190

24 Sep 2007, 7:50 am

works for me