Bid-offer price and Hyperinflation: Difference between pages

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imported>Doug Williamson
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imported>Doug Williamson
(Create the page. Source: The Treasurer, June 2016, p14, and FRS 102 paragraph 31.2(e).)
 
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Bid offer prices (or bid-ask prices) are quoted by market makers simultaneously as the prices at which they will deal with the market either to buy or to sell.
Inflation at a very high rate.


Spread means the difference between the bid price and the offer price.  The greater the spread, the greater the market maker’s compensation for their work and risk in making the two way price; and the greater the all-in transaction cost for the price taker.
For example, when the cumulative inflation rate over three years is approaching, or exceeds, 100 per cent.




== See also ==
==See also==
* [[Ask price]]
*[[Inflation]]
* [[Bid rate]]
* [[Bid-offer spread]]
* [[Market maker]]
* [[Mid market price]]
* [[Two way price]]

Revision as of 14:48, 17 June 2016

Inflation at a very high rate.

For example, when the cumulative inflation rate over three years is approaching, or exceeds, 100 per cent.


See also