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The Global Foreign Exchange Market: Growth and Transformation

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Author Info
William Barker (Bank of Canada)
Abstract

Barker examines changes in the foreign exchange market, which is in a period of transition. Since the mid-1990s, three closely inter-related and mutually reinforcing factors--electronic trading platforms, a changing mix of market participants, and computer-driven algorithmic trading strategies--have been accelerating market growth and are creating a profound structural transformation. As the balance of market participation shifts between bank and non-bank accounts, large and small participants, and domestic and global players, the market is adopting some of the characteristics of an "exchange" model and is arguably becoming more liquid and operationally efficient.

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File URL: http://www.bankofcanada.ca/en/review/autumn07/barker.pdf
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Publisher Info
Article provided by Bank of Canada in its journal Bank of Canada Review.

Volume (Year): 2007 (2007)
Issue (Month): Autumn ()
Pages: 4-13
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Handle: RePEc:bca:bcarev:v:2007:y:2007:i:autumn07:p:4-13

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Postal: 234 Wellington Street, Ottawa, Ontario, K1A 0G9, Canada
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Web page: http://www.bank-banque-canada.ca/

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This page was last updated on 2009-11-19.


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