Home > Terms > English, UK (UE) > Floating exchange rate
Floating exchange rate
An exchange rate which is allowed to move freely, finding its level as a function of supply and demand on the foreign currency market, and is subject to only limited intervention by the central bank. Opposite: fixed exchange rate.
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- Part of Speech: noun
- Synonym(s):
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- Industry/Domain: Banking
- Category: Investment banking
- Company: UBS
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