where rapid price falls are likely. Producer Price Index An economic indicator which gauges the average changes on prices received by domestic producers for their output at all stages of processing. Profit Taking The unwinding of a position to realise profits. Rollover Credit Medium term credit with a variable interest rate, which is governed by the currently prevailing rates on the Euromarket. SDR Special Drawing Right. Point (1) 100th part of a per cent, normally 10,000 of any spot rate. (2) Official rates in terms of SDR or other pegging currency. (4) The margin paid above the normal price level.
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Risk Premium Additional sum payable or return to compensate a party for adopting a particular risk. Short Contracts Contracts with up to six months to delivery. Spot Price/Rate The price at which the currency is currently trading in the spot market. Short Sale The sale of a currency futures not owned by the seller at the time of the trade. Retail Price Index forex trading test Measurement of the monthly change in the average level of prices at retail, normally of a defined group of goods.