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Indirect Quotation

Revision as of 14:36, 12 August 2009 by Ian.Jones (Talk | contribs)

An indirect quotation is a currency quotation in which the value of a foreign currency is expressed in terms of one unit of a domestic currency. For example, in the U.S. an indirect quote for the euro could be 0.705 euros = $1.00. In the euro zone an indirect quote for the dollar could be $1.416 = 1 euro. A direct quotation is the reverse; the value of a domestic currency is expressed in terms of one unit of a foreign currency.

See also: Floating Exchange Rates

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