What Is a Quote Currency? (2024)

FAQs

What is the quote currency? ›

The quote currency is the second currency appearing in a currency pair quotation. The quote currency quoted expresses the number of units of that currency that are equal to one unit of the base currency.

The bid price is what the dealer is willing to pay for a currency, while the ask price is the rate at which a dealer will sell the same currency.

An American currency quotation is a quotation in the foreign exchange markets whereby the value of the American dollar is stated as a per-unit measure of a foreign currency. This type of quotation shows how much U.S. currency it takes to purchase one unit of foreign currency.

For example, if the exchange rate between the US dollar and the Chinese yuan is 0.56 yuan per US dollar, it is a direct quote for China, as the domestic currency for China is represented per unit of the US dollar (foreign currency). Similarly, the exact currency quote above is an indirect quote for the USA, as a USD1.

A quote is the last price at which an asset traded; it is the most recent price that a buyer and seller agreed upon and at which some amount of the asset was transacted.

Currency describes the money or official means of payment in a country or region. The best-known currencies include the U.S. dollar, euro, Japanese yen, British pound and Swiss franc.

A penny saved is a penny earned. A rich man is nothing but a poor man with money. The lack of money is the root of all evil. When I was young I thought that money was the most important thing in life; now that I am old I know that it is.

The first currency is called the base currency and the second currency is called the quote currency. So for example, EURUSD, means that the base currency is the Euro and the quote currency is the USD. The quote currency is sometimes referred to as the counter currency.

American paper currency comes in seven denominations: $1, $2, $5, $10, $20, $50, and $100. The United States no longer issues bills in larger denominations, such as $500, $1,000, $5,000, and $10,000 bills. But they are still legal tender and may still be in circulation.

Are $2 bills still made? ›

Today, the general public is still largely unfamiliar with the notes because they are not widely circulated and continue to be hoarded. The common misconception that the $2 note is no longer being produced also remains, though $2 notes have been printed since 1862, except for a 10-year hiatus between 1966 and 1976.

Time is actually the most valuable currency – one second lost cannot be bought back.

The quote currency is the second currency listed in a forex pair. It is also known as the counter currency. The price of a forex pair reflects how much it costs to purchase one unit of the base currency by selling the quote currency. In a pair listed as GBP/USD, USD is the quote currency.

Example of a direct quotation:

The professor emphasizes, “Your essays must be submitted on time” (22).

A quotation is the repetition of a sentence, phrase, or passage from speech or text that someone has said or written. In oral speech, it is the representation of an utterance (i.e. of something that a speaker actually said) that is introduced by a quotative marker, such as a verb of saying.

Understanding Currency Pairs

When you buy a currency pair from a forex broker, you buy the base currency and sell the quote currency. Conversely, when you sell the currency pair, you sell the base currency and receive the quote currency. Currency pairs are quoted based on their bid (buy) and ask prices (sell).

1 KWD = 3.255165 USD May 18, 2024 06:14 UTC

The currency converter below is easy to use and the currency rates are updated frequently.

“It's good to have money and the things that money can buy, but it's good, too, to check up once in a while and make sure that you haven't lost the things that money can't buy.” “If we command our wealth, we shall be rich and free. If our wealth commands us, we are poor indeed.”

The exchange rate can be quoted directly or indirectly. The quote is direct when the price of one unit of foreign currency is expressed in terms of the domestic currency. The quote is indirect when the price of one unit of domestic currency is expressed in terms of Foreign currency.