A group of securities whose weighted average is used to determine the value of an obligation or the value of another currency. For instance, a country that does not peg the value of its currency to a single other currency, such as the U.S. dollar, could value its currency to the value of a currency basket comprised of Euros, U.S. dollars, and Japanese Yen.
Related information about currency basket:
- Currency basket - Wikipedia, the free encyclopedia
A currency basket is a portfolio of selected currencies with different weightings. A currency basket is commonly used to minimize the risk of currency fluctuations.
- Currency Basket Definition | Investopedia
A selected group of currencies in which the weighted average is used as a measure of the value or the amount of an obligation. A currency basket functions as a ...
- Currency Basket - Financial Dictionary - The Free Dictionary
The value of a portfolio of specific amounts of individual currencies, used as the basis for setting the market value of another currency. It is also referred to as a ...
- How To Build A Currency Basket III: The Benchmarks - Seeking Alpha
Mar 6, 2012 ... To finish with our approach about building a currency basket (check out our first and second article), we will try to look for different benchmarks.
- Currency Basket - Financial Glossary
The term refers to a group of currencies gathered into a basket against which an exchange rate can be set. Currencies in the basket are weighted according to ...
- Simple Example of a Currency Basket - Pomona
A Simple Example of a Currency Basket. For Thailand, trade with both Japan and the United States is important. Suppose the central bank of Thailand decides ...
- What is a Currency Basket?
Currency baskets are collections of securities with a weighted average that can be utilized to calculate the current value of any given debt, duty, or written ...
- China may switch to currency basket for forex rate - MarketWatch
Jul 23, 2010 ... LOS ANGELES (MarketWatch) -- A top Chinese central bank official suggested switching away from the U.S. dollar as a benchmark for the ...