Foreign exchange and money markets

Foreign Exchange and Money Markets" by Bob Steiner is a comprehensive guide to understanding the workings of the global foreign exchange (FX) and money markets. The book covers topics ranging from basic concepts like exchange rates and currency trading to more advanced topics like hedging strategies and derivative products. The first part of the book provides an overview of the FX market, including the main participants and the factors that influence exchange rates. The author also explains the various ways in which currency is traded, such as spot transactions, forwards, options, and swaps. This section also covers the use of technical analysis and fundamental analysis in predicting market movements. The second part of the book focuses on the money markets, which are the markets for short-term debt securities. The author explains the different types of money market instruments, such as Treasury bills, commercial paper, and certificates of deposit, and how they are traded. This section also covers the role of central banks in the money markets and the impact of monetary policy on interest rates. The third part of the book covers hedging strategies, which are used to manage risk in the FX and money markets. The author explains how to use forwards, options, and swaps to hedge against currency and interest rate risk. This section also covers the use of credit derivatives, such as credit default swaps, to manage credit risk. Overall, "Foreign Exchange and Money Markets" is a comprehensive guide that provides a detailed understanding of the workings of the global FX and money markets. The book is suitable for anyone who wants to learn about the markets, from beginners to professionals.