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Bloomberg Market Concepts Certification:
Currencies | 2026/2027 Edition | Premium
Practice Q&A Set | Verified Study Solutions |
Grade A Prep
Which of the following statements accurately highlights a key characteristics of the US dollar as
a currency?
The UD dollar (USD) is the official currency of the United States and is widely accepted as a
medium of exchange in numerous countries around the world
What is one of the potential implications of many countries adopting a single currency as the
Euro?
Loss of autonomy and challenges with unique economic landscapes
What is one advantage of a currency peg for a country?
Eliminating currency volatility and promoting export promotion
What types of digital tools and products can be created using DeFi applications?
Assets, investments, and trading applications
What is the difference in purpose between spot trades and FX swaps?
Spot trades involve an immediate and simultaneous purchase of one current and sale of another
currency, whereas FX swaps extend spot trades to mature at a later date
What is the difference between Equity Investors and Fixed Income Investors in the FX market?
Equity Investors primarily utilize FX to facilitate their equity investments, while Fixed Income
Investors combine a view on international bond markets with a view on the underlying
currencies.
Review the most recent BIS Triennial Survey taken in April 2022. What was the average daily
FX volume?
$7.5 trillion per day
What is the term for combining views on FX with other markets?
Global Macro
Which of the following most accurately reflects the FX trading volume and trend when
comparing the Euro with the Chinese renminbi between 2019 and 2022?
In 2022, the Euro continued to be the second most actively traded currency on one side of about
30.5% of all trades but a decline from almost 32% in 2019. The renminbi's share rose to 7%,
, making it the fifth most traded currency in 2022 up from eighth place in 2019, with a 4% share.
While the renminbi is grew much faster than the Euro, it still trades less than 25% of the volume
of the Euro
Which currency classification would best describe the US dollar
Global Reserve Currency
Based on the two charts: What is the price of the Euro in terms of the Canadian dollar?
1.4474
Based on the following Big Mac index screen shot, which of the following currencies is
considered the most overvalued and which is the most undervalued?
CHF is the most overvalued and ZAT is the most undervalued
Click the screen to read a news article and review the economics tab on Bloomberg's FX
Information Portal (FXIP <GO>). Based on the data in the screens, what inference can you
make? Choose the best answer.
The price of goods and services in most G10 countries were increasing, relative to their
economic growth. As a result, central banks in these countries were likely raising policy rates.
What monetary policy action could Turkey have taken to stabilize or strengthen the value of the
Turkish Lira?
Raise interest rates as this will help reduce inflationary pressures and support the value of the
Turkish Lira
What is the best long-term approach to measuring a currency's relative over or under valuation?
A PPP model such as the Big Mac Index
Which of the following surprises would most likely decrease the valuation of a currency?
Surprise decrease in central bank rates
Review the charts below to calculate the price of the Swiss franc in terms of the Japanese Yen.
142.75
Based on the table displaying expected and announced interest rate changes, which country's
currency is likely to experience the most significant increase in response to the news?
B
Based on the trade flow screen, which statement most accurately reflects the United States trade
flow relationship with Mexico and Canada?
In 2022, the United States had significantly greater imports than exports from both Mexico and
Canada. Therefore, Mexico and Canada are both net exporters to the United States and have a net
trade surplus with the United States.
Bloomberg Market Concepts Certification:
Currencies | 2026/2027 Edition | Premium
Practice Q&A Set | Verified Study Solutions |
Grade A Prep
Which of the following statements accurately highlights a key characteristics of the US dollar as
a currency?
The UD dollar (USD) is the official currency of the United States and is widely accepted as a
medium of exchange in numerous countries around the world
What is one of the potential implications of many countries adopting a single currency as the
Euro?
Loss of autonomy and challenges with unique economic landscapes
What is one advantage of a currency peg for a country?
Eliminating currency volatility and promoting export promotion
What types of digital tools and products can be created using DeFi applications?
Assets, investments, and trading applications
What is the difference in purpose between spot trades and FX swaps?
Spot trades involve an immediate and simultaneous purchase of one current and sale of another
currency, whereas FX swaps extend spot trades to mature at a later date
What is the difference between Equity Investors and Fixed Income Investors in the FX market?
Equity Investors primarily utilize FX to facilitate their equity investments, while Fixed Income
Investors combine a view on international bond markets with a view on the underlying
currencies.
Review the most recent BIS Triennial Survey taken in April 2022. What was the average daily
FX volume?
$7.5 trillion per day
What is the term for combining views on FX with other markets?
Global Macro
Which of the following most accurately reflects the FX trading volume and trend when
comparing the Euro with the Chinese renminbi between 2019 and 2022?
In 2022, the Euro continued to be the second most actively traded currency on one side of about
30.5% of all trades but a decline from almost 32% in 2019. The renminbi's share rose to 7%,
, making it the fifth most traded currency in 2022 up from eighth place in 2019, with a 4% share.
While the renminbi is grew much faster than the Euro, it still trades less than 25% of the volume
of the Euro
Which currency classification would best describe the US dollar
Global Reserve Currency
Based on the two charts: What is the price of the Euro in terms of the Canadian dollar?
1.4474
Based on the following Big Mac index screen shot, which of the following currencies is
considered the most overvalued and which is the most undervalued?
CHF is the most overvalued and ZAT is the most undervalued
Click the screen to read a news article and review the economics tab on Bloomberg's FX
Information Portal (FXIP <GO>). Based on the data in the screens, what inference can you
make? Choose the best answer.
The price of goods and services in most G10 countries were increasing, relative to their
economic growth. As a result, central banks in these countries were likely raising policy rates.
What monetary policy action could Turkey have taken to stabilize or strengthen the value of the
Turkish Lira?
Raise interest rates as this will help reduce inflationary pressures and support the value of the
Turkish Lira
What is the best long-term approach to measuring a currency's relative over or under valuation?
A PPP model such as the Big Mac Index
Which of the following surprises would most likely decrease the valuation of a currency?
Surprise decrease in central bank rates
Review the charts below to calculate the price of the Swiss franc in terms of the Japanese Yen.
142.75
Based on the table displaying expected and announced interest rate changes, which country's
currency is likely to experience the most significant increase in response to the news?
B
Based on the trade flow screen, which statement most accurately reflects the United States trade
flow relationship with Mexico and Canada?
In 2022, the United States had significantly greater imports than exports from both Mexico and
Canada. Therefore, Mexico and Canada are both net exporters to the United States and have a net
trade surplus with the United States.
