Cornerstone of the global financial market

 

Ukrainian: As far as I know, the cornerstone of the global financial market is the Foreign Exchange Market. In this connection, how is it developing? What affects its developing?

Foreigner: I would stress, first of all, that the FOREX is really an integral, fundamental sector of the global financial market. It reflects economic relations between countries, like transportation, insurance, tourism, credits, foreign investment, etc.

Ukrainian: The market has no one centralized location, does it?

Foreigner: No, the market is global in character. It is rather a network of dealing rooms connected by sophisticated communications systems, like telephones, telex machines and electronic dealing systems. Major trading activities are conducted in London, New York, Chicago, Tokyo, Singapore and others.

Ukrainian: How big is the market? How big is the volume of deals in the market?

Foreigner: By the estimate of the Bank for International Settlements, about $1 trillion is exchanged every day.

Ukrainian: Who are the major participants in the market?

Foreigner: Commercial and investment banks, central banks, governmental agencies, professional fund managers, corporations, brokers, investors, speculators.

Ukrainian: I think banks play the most important role in currency transactions.

Foreigner: You are right. Bank dealers at their workplaces are in constant contact by telephones or computers with dealers in different banks. They sit analyzing latest currency quotations they see on display. Banks buy or sell currency either for themselves or on behalf of their clients.

 

Vocabulary

cornerstone – наріжний камінь

integral – невід’ємний

currency deal – валютна операція

dealing room – дилерська кімната

latest currency quotations – останні валютні котирування

 

2.Read the dialogue, translate the Ukrainian remarks into English and act it out:

 

British economist: Your participation in the world financial market is increasing. How is your foreign exchange market performing?

Polish economist: Економічні реформи в нашій країні призвели до виникнення у нас ринку іноземної валюти, що пов’язаний з глобальними фінансовими ринками.

British economist: You’ve made tremendous progress. Ten years back your currency was not convertible.

Polish economist: Так, наша валюта досить швидко стала вільноконвертованою. І нині вона є єдиним законним платіжним засобом в нашій країні.

British economist: It goes to the credit of your government and the central bank, doesn’t it?

Polish economist: Так, і сьогодні наш центральний банк підтримує стабільність нашої валюти, її обмінний курс.

British economist: How is your foreign exchange market organized?

Polish economist: Наш ринок складається із декількох валютних бірж, на яких здійснюються різноманітні угоди, включаючи спотові, ф’ючерсні та форвардні операції. Вдалій роботі ринку сприяє нещодавно модернізована платіжна система.

British economist: The basic idea of foreign exchange dealing is making profit on selling and buying currencies.

Polish economist: Валютний арбітраж безумовно існує, але головна мета нашого ринку – забезпечити потреби в іноземній валюті наших експортерів та імпортерів.

3.Make up a dialogue on the following:

• Do rates of exchange influence the external trade of a country?

• What are the meaning and purpose of Forward exchange?

 

B. COMMUNICATIVE SITUATIONS

 

1. Discuss with your friends:

 

§ What are the objective and methods of Exchange Control?

§ What is “convertibility” as applied to a currency?

 

2. Prepare a short talk on the following:

• The major participants of the foreign exchange markets.
• Instruments and transactions made in the currency markets (spot trading, futures and forward contracts, swaps, options).
• Ukraine’s efforts to fight money laundering.

 

3. Make several short paragraphs on the following:

a) The composition of the exchange market.

b) The structure of the global financial market.

 

¨READ AND DISCUSS

1.a) Supply the prepositions where necessary.

b) Write down 3-5 questions about the text.

c) Describe the components of the global financial markets.

 

Global Financial Markets

 

The global market for finance encompasses a complex web of financial instruments and institutions. Its structure and functioning are affected in fundamental ways … the macroeconomic environment

(in particular, patterns of interest rates and exchange rates), the regulatory and technological environment, and fundamentals driving the real sector of the international economy.

The cash and derivative instruments that compose global financial markets rest … four cornerstones: 1)foreign exchange market, 2) the Eurocurrency market, 3) the market of intermediated credit facilities and debt instruments and 4) the equities market.

Foreign exchange (Forex) market stands … the core of the global financial market. It encompasses spot as well as forward interbank and customer transactions, as well as Forex futures and options, traded... various organized exchanges around the world.

Motivations for Forex transactions range … short-term positioning (speculating) to hedging... commercial or investment transactions via outright forwards, forex swaps, futures or options.

Forex Market is a structure upon which most other segments … the global financial markets are built.

A second cornerstone is the Eurocurrency Market. Eurocurrency financial items are claims that are created in one country but denominated... the currency of another. The Eurocurrency system comprises the markets within which these claims are created and traded. This activity originated... Europe but now takes place … the world. Three broad classes of financial items are involved:

1) bank deposits and credits, for example, dollar deposits held... European banks;

2) primary securities in the form of Eurobonds and Euronotes; and
3) derivative securities such as foreign currency options or futures on Eurodollar uistruments.

Initially, Eurocurrency financial items were denominated pritnarily... dollars. Today, there are many currencies of denomination, with the Deutchemark and Yen playing an increasingly important role. As in the foreign exchange market, the core of this market consists... major dealing banks that consistently quote bid and offered prices in active interbank trading. The Bank of England samples these interest rates daily for a group of reference banks and publishes an average of the two sides of title market as the London interbank bid (LIBID) and offered (LIBOR) rates. LIBOR has become the most important floating-rate pricing benchmark for loans and debt instruments … the global financial markets.

International lending and issuance of debt securities represents the third major segment of the global financial market.

Perhaps the most long-standing form of international lending involves trade financing, whereby a foreign buyer agrees to pay... imported merchandise after a period of time.

A corporation or government requiring general international bank financing can borrow... foreign-based financial intermediaries under a variety of structures ranging from revolving credit facilities, term loans and project financing, to various kinds of secured credits.

An alternative... bank financing available... many corporate and governmental borrowers is to issue debt securities (like commercial paper or government bills).

The fourth cornerstone of the global financial market involves equities, that is, common preferred shares. Corporations seeking to raise equity capital may issue shares in the domestic market through the uriderwriting channels and simultaneously distribute them... foreign investors.

Words you may need:

web – павутиння, сплетення

regulatory environment – правове поле

fundamentals – основи

drive – приводити в рух

derivative instruments – похідні інструменти

Eurocurrency market – євровалютний ринок

credit facilities – кредити, джерела кредитування

core – серцевина, ядро

positioning – встановлення позиції

hedging – хеджування

claim – вимога

primary securities – первинні цінні папери

Euronote – євро нота (1-6-місячний вексель)

sample – відбирати (зразки)

reference banks банки – банки, чиї процентні ставки використовуються при розрахунку ЛІБОР та інших ставок-орієнтирів

London interbank bid rate (LIBID) – ставка покупця на лондонському міжбанківському ринку депозитів (ЛІБІД)

London interbank offered rate (LIBOR) – ставка продавця (пропозиції) на лондонському міжбанківському ринку депозитів (ЛІБОР)

debt security – цінний папір, що являє собою боргове свідоцтво

long-standing – давній

trade financing – фінансування торгівлі

merchandise – товари

foreign-based – той, що розміщений за кордоном

revolving credit facilities – револьверний кредит

term loan – термінова позика

project financing – фінансування проектів

secured credit – ломбардний кредит (кредит під забезпечення цінними паперами, що швидко реалізуються)

commercial paper – „комерційні папери”, векселя

 

2. a) Fill each gap with a suitable word from the box.

b) Sum up the text in 5-7 sentences. Present your sentences to the class.

c) Describe the basic functions of the Eurocurrency markets.

 

function operating conducted

Try client need

Borrow perform offer

Deal organized leading

Bank restrictions borrowers

 

 

The Eurocurrency Market

One of the most well-developed sectors of the Global Financial Market is the Eurocurrency Market. The Market refers to funds channelled via financial intermediaries from international lenders to international _________. The large multinational banks dominate this business and have played a _________ role in the development and growth of these "offshore" markets.

The Eurocurrency markets __________ the short to medium term debt required by banks, corporate customers, and government borrowers. The sources of these funds are domestic _________ deposits whose ownership is transferred to banks outside the controlled domestic monetary systems.

The Eurocurrency market is therefore ________ and sustained by the large international banks and operates at two levels. Firstly, there is the very competitive wholesale market _________ in London, in which these banks sell their funds to each other at the London interbank offering rate (LIBOR). This business is mainly ________
via telephone, and thus only the highest quality banks can __________ in the wholesale market. Secondly, smaller banks, corporate borrowers, national governments (in the late 1970s from Eastern Europe or developing countries and now primarily the Western industrilized countries) can loans from this market. In

this large-scale "retail" loan market the large international banks only lend the offshore deposits alter detailed credit, investigation of the _________.

The Eurocurrency markets _________ three basic functions. Firstly, they are extensively used for foreign exchange hedging purposes as the banks _________ to balance out their foreign assets and liabilities. The banks therefore take positions in the Eurocurrency market to cover the forward commitments they have made with their customers. Secondly, Eurocurrency markets can at times bypass domestic channels of financial intermediation, especially when governments impose tight credit. For example, US corporations can acquire Eurodollars in London. These deposits may be US domestic dollar deposits that have been transferred abroad, during a US domestic predit squeeze. The third ___________ is the full international intermediation role of channelling surplus liquid resources from, say, OPEC countries to those countries or corporations who to borrow.

Words you may need:

via – за допомогою, через

to take position – встановлювати позицію

at times – час від часу

bypass – обходити

credit squeeze – „стиснення кредиту” (заходи держави по обмеженню кредиту споживачам)

 

3.Read the text quickly to find the types of most widely used swaps:

Foreign Exchange Swaps

Swaps are transactions in which two parties swap financial assets by linking a foreign exchange transaction in cash to an opposite futures business in the same currency.

Foreign Exchange Swap Markets have developed since the early 1980s. The oldest type of swap is the conventional foreign exchange deal whereby one currency is simultaneously bought spot and sold forward against another – meaning an immediate exchange of cash followed by a further reverse exchange at a specified date in the future.

The idea of swapping has now spread further. By far the largest business volume amongst swaps occurs n the so-called "vanilla interest rate swap". A "plain vanilla", or fixed-to-fixed foreign exchange, or currency swap is аn exchange of the principal and interest payments associated with a fixed-rate loan in one currency for the principal and interest payments on a similar loan in a second currency. The first such swap between IBM and the World Bank was done in 1981. Since then the swap market has grown to over $ 1 billion and, in the process, has evolved several additional types of currency swaps.

Words you may need:

Foreign Exchange Swap – валютний „своп”

to buy spot – придбати на умовах „спот”

followed by – за яким слідує...

vanilla interest rate swap – „своп” процентний

plain vanilla – простий процентний „своп”

evolve – розвиватись, еволюціонувати

 

4. Read the text quickly to find answers to the following questions:

· What does the price of a foreign exchange option depend on?

· What are the prospects for the option markets?

Foreign Exchange Options

Options as a fiinancial instrument have a reasonably short history in financial markets, with the first option contracts being traded in Chicago in 1973. In foreign exchange, a call option on the US dollar is the right to buy the US dollar, and a put option is the right to sell the US dollar. To purchase an option, the buyer has to pay a premium. Тo write an option, the seller receives a premium.

There are three different types of users of foreign exchange options: the corporate treasury, the fund manager, and the commercial bank trading room. For example, in the currency option markets, the corporate treasury can buy the right, but not the obligation, to sell or buy currency forward, if required. This option, to decide whether to buy or sell currency, is particularly important when the firm is unsure about the timing or size of foreign currency receipts or payment.

International banks, in their turn, use currency options for their customers and for their own trading. In the past few years, nearly all dealing rooms have seen a large growth in the use of currency options and banks have started employing traders purely to trade currency options for the bank's own account.

Options are also sold "over the counter" (OTC) in a manner similar to currency forward contracts. OTC contracts have very flexible terms arranged by negotiation between the (normal bank) supplier and corporate buyer. Thus the currencies to be bought and sold can vary according to the corporate customer's needs and do not have to correspond to exchange market conventions. Amounts, duration of the option, and price can all be negotiated and matched to the corporate customers' exposure.

The volume of trading on the OTC market between banks is even higher than on the listed options market. There is no public secondary market in OTC currency options but trading is conducted by telephone using prices available on screen systems provided by large international (commercial and investment) banks. MNCs are major users of OTC options and are key participants in the screen markets. These OTC markets are closely linked to spot and forward markets in currency in which the banks and MNCs also play central roles.

The organized currency option exchanges provide an important public pricing mechanism for the MNC treasurer and may also provide a suitable currency option contract for foreign cash flows of known size but uncertain likelihood of occurrence.

The price of a foreign exchange option depends on: the length of a period desired to be covered by the option; the underlying volatility of the foreign exchange market; the relationship between the spot exchange rate and the desired price or the desired strike price; option premium; foreign interest rate.

Moreover, the type of currency option that financial institutions, corporations and the like can trade in vary from the extremely simple to the very sophisticated. It is possible to design tailor-made foreign exchange options to suit requirements, as essentially a foreign exchange option is akin to an insurance premium on the foreign exchange market. All this makes this instrument very attractive.

Within the past fifteen years the use of options has grown in all financial markets. It seems quite likely that foreign exchange options will grow further in coming years.

 

Words you may need:

call option – опціон „кол”

put option – опціон „пут”

to write an option – виконати опціон

corporate treasury – підрозділ у корпорації що займається управлінням її вільними коштами

to sell (buy) forward – продати (купити) на термін

convention – конвенція, договір

strike price – ціна виконання

and the like – і тому подібне

tailor-made – з врахуванням потреб замовника

to be akin (to) – бути близьким (чому-небудь)

 

 

žTESTS

I. Choose the correct answer:

1. Exchange of currencies is possible if national currencies are:

a) changeable;

b) interchangeable;

c) not changeable.

 

2. The terms on which one currency will exchange against another are referred to as:

a) currency exchange;

b) unit of exchange;

c) rate of exchange.

 

3. Trading in the Foreign Exchange Market occurs:

a) 6 hours a day;

b) 12 hours a day;

c) 24 hours a day.

 

4. The Foreign Exchange Market consists of:

a) two major sectors;

b) three major sectors;

c) four major sectors.

 

5. More than half of all transactions in the Market are:

a) futures deals;

b) forward deals;

c) spot deals.

 

II. Match what statements are true and what are false. Results write to the table:

1. Exchange of currencies is possible if national currencies are not changeable.

2. The Foreign Exchange Market is the oldest financial market in existence.

3. Deals in the Market are concluded over telecommunications networks by different counterparties.

4. The exchange market has a centralized location.

5. The cost of transacting in the wholesale market is reflected in the bid-offer spread.

6. As prices are different in different markets, professional dealers may take advantage of it buying.

Table

True
False

 

ì Unit 8

FINANCIAL MARKETS.

THE STOCK MARKET

I. READING

1. Stress the first syllable:

stock, origin; principal, turnover, orderly, rapid, tangible, arbitrage, barrier, dealer, retail, segment, integrate, client, tangible.

 

2. Stress the second syllable:

expansion, sophisticated, increasingly, provide, emerge, development, attract, quotation, contain, facility, allow, conduct, establish, reliable, appearance, ensure.

 

3. Stress the third syllable:

isolation, indication, popularity.

 

4. Read the text:

 

STOCK MARKETS

 

Stock Markets are the means through which securities are bought and sold. The origin of stock markets goes back to medieval Italy¹. During the 17^th and 18^th centuries Amsterdam was the principal centre for securities trading in the world. The appearance of formal stock markets and professional intermediation resulted from the supply of, demand for and turnover in transferable securities. The 19^th century saw a great expansion in issues² of transferable securities.

The popularity of transferable instruments as a means of finance continued to grow and at the beginning of the 20^th century there was an increasing demand for the facilities provided by stock exchanges, with both new ones appearing around the world and old ones becoming larger, more organized and increasingly sophisticated.

The largest, most active and best organized markets were established in Western Europe and the United States. Despite their common European origins there was no single model which every country copied.

Members of stock exchanges drew up rules to protect their own interests and to facilitate the business to be done by creating an orderly and regulated marketplace.

Investors were interested in a far wider range of securities³ than those issued by local enterprises. Increasingly, these local exchanges were integrated into local markets.

The rapid development of communications allowed stock exchanges to attract orders more easily from all over the country and later the barriers than had preserved the independence and isolation of national exchanges were progressively removed, leading to the creation of a world market for securities. The 1980s saw the growing internationalization of the world securities markets, forcing stock exchanges to compete with each other. Cross-border trading of international equities expanded.

Although many securities were of interest to only a small and localized group, others came to attract investors throughout the world. Increasingly, arbitrage between different stock exchanges ensured that the same security commanded the same price⁴ on whatever market it was traded. London, Paris, New York became dominant stock exchanges.

Stock exchanges emerged as central elements in the financial systems of all advanced countries.

Potential investors, insurance companies, pension funds, governments and corporate enterprises see securities as a cheap and convenient means of finance.

An investor who purchases new securities is participating in a primary financial market. An investor who resells existing securities is participating in a secondary financial market.

There are two basic types of stock markets – (1) organized exchanges, like the New York Stock Exchange (NYSE) or the London Stock Exchange (LSE), and (2) the less formal over-the-counter markets.

The organized security exchanges are tangible physical entities, which have specially designated members⁵ and elected governing bodies – boards of governors.

In contrast to be organized security exchanges, the over-the-counter market is an intangible organization. It is a network of security dealers who buy and sell securities from each other, either for their own account or for their retail clients. The over-the-counter market is normally conducted by telephone and computer reporting of price quotations between brokerage firms that “make a market”: that is, agree to buy and sell a particular security. Securities that are not listed on exchanges are traded “over-the-counter”. In general these include stocks, preferred stocks, corporate bonds, and other securities.

Investors need complete and reliable information about stocks and markets. In addition to the listings, the financial pages of newspapers in all countries contain price quotations and share indexes which give a broad indication of how the stock market, or a segment of the stock market, performed during a particular day.

 

NOTES:

[1] The origin of stock markets goes back to medieval Italy. – Зародження фондового ринку відноситься до епохи середньовічної Італії.

2 The 19^th century saw a great expansion in issues. – В 19 столітті спостерігалось різке збільшення випуску цінних паперів.

3 were interested in a far wider range of securities. – проявляли інтерес до набагато більшої кількості цінних паперів

4 the same security commanded the same price. - однакові цінні папери продаються за однаковою ціною.

5 The organized security exchanges are tangible physical entities, which have specially designated members... – Організовані фондові біржі є реально існуючими економічними суб’єктами, що мають конкретних членів.

 

¤ VOCABULARY LIST

 

stock market – фондовий ринок

origin – походження, зародження

intermediation – посередницька діяльність

transferable securities – цінні папери, які можуть бути переуступлені іншій особі

facilities – послуги

sophisticated – більш сучасний, удосконалений

facilitate – полегшити

draw up – складати

orderly – упорядкований

increasingly – все більше і більше

allow – дозволяти, робити можливим

isolation – ізоляція, відособлення

lead – приводити

force – примушувати

cross-border trading – міжнародна торгівля

expand – поширюватись, розвиватись

emerge – виникати, з’являтися

advanced countries – розвинуті країни

dealer – дилер, позабіржовий торговець

equity – звичайна акція

expand – поширюватися, розвиватися

arbitrage – арбітражні операції

ensure – забезпечувати

over-the-counter market – позабіржовий ринок

for smb’s account – за чийсь рахунок

retail client – дрібний клієнт

conduct – керувати

price quotation – котирування цін

list – вносити в курсовий бюлетень

preferred stocks – привілейовані акції

reliable – надійний

listing – допуск цінного паперу до офіційної торгівлі на фондовій біржі

share index – фондовий індекс

 

? ІІ. VOCABULARY EXERCISES

 

Ex.1. Find equivalents:

 

Ex.2. Find English equivalents for the following Ukrainian phrases:

 

цінні папери продаються і купуються; головний центр торгівлі цінними паперами; фондовий ринок з’явився в результаті...; не існувало єдиної моделі; складати правила для захисту чиїхось інтересів; полегшити ведення бізнесу; упорядкований регульований ринок; цінні папери, що виготовлені місцевими підприємствами; місцеві біржі були об’єднані в загальнонаціональні фондові ринки; міжнародна торгівля цінними паперами поширилась; позабіржовий ринок; купувати та продавати цінні папери за свій рахунок; позабіржовий ринок здійснює операції по телефону і за допомогою комп’ютерів; цінні папери, що не зареєстровані на біржі.

 

Ex.3. Fill in the blanks with prepositions, pronouns or conjunctions:

1.Stock Markets are the means... which securities are bought... sold.

2.The appearance... formal stock markets... professional intermediation resulted... the supply of, demand for... turnover... transferable securities.

3.Members... stock exchanges drew up rules... protect their own interests... to facilitate the business to be done by creating an orderly... regulated marketplace.

4.The rapid development... communications allowed stock exchanges... attract orders more easily... all over the country.

5.Stock exchanges emerged … central elements … the financial systems … all advanced countries.

6.An investor … purchases new securities is participating … a primary financial market.

7.An investor … resells existing securities is participating … a secondary financial market.

8.Over-the-counter market is a network … security dealers … buy … sell securities … each other, … for their own account … … their retail clients.

9.Investors need complete … reliable information … stocks … markets.

10. The financial pages … newspapers … all countries contain price quotations … share indexes … give a broad indication … how the stock market, … a segment … the stock market, performed during a particular day.

 

Ex.4. Fill in the blanks below with the appropriate terms from the list:

1.The _________of stock markets goes back to medieval Italy.

2.During the 17^th and 18^th centuries Amsterdam was the principal centre for ________ in the world.

3.The 19^th century saw a great ___________ in issues of transferable securities.

4.The popularity of _____________ as a means of finance continued to grow and at the beginning of the 20^th century.

5.Despite common European origins of the markets there was no single __________ which every country copied.

6.Members of stock exchange drew up rules to protect their own interests and to facilitate the business to be done by creating an orderly and regulated _____________.

7.The 1980s saw the growing ____________ of the world securities markets, forcing stock exchanges to compete with each other.

8.Arbitrage between different stock exchanges ensured that the same __________ commanded the same __________ on whatever market it was traded.

9.London, Paris, New York became dominant _________.

 

Ex.5. Complete the following sentences:

 

1. Stock Markets are ….

2. The rapid development of communications … to attract …..

3. Stock exchanges emerged as ….

4. An investor who purchases new securities is ….

5. An investor who resells existing securities is ….

6. There are two basic types of stock markets: ….

7. The organized security exchanges are …, which have ….

8. Securities that … are traded “over-the-counter”.

9. Securities which are traded “over-the-counter” include ….

10. Investors need … about stocks and markets.

11. The financial pages of newspapers contain … which ….

Ex.6. Answer the following questions:

 

1.What is the Stock Market?

2.What contributed to the emergence and growth of stock exchanges?

3.Where were best organized stock markets established?

4.What general trend in the stock market development has been observed over the years of its existence?

5.What stock exchanges have become most dominant?

6.What part do stock exchanges play in the financial systems of advanced countries?

7.How do investors participate in the primary and secondary financial markets?

8.What are the basic types of stock markets? How are they conducted?

9.What are the dominant stock exchanges now in the world?

Ex.7. Translate into English:

 

1. Фондові біржі є засобами, за допомогою яких продаються або купуються цінні папери.

2. Швидкий розвиток засобів зв’язку дозволив фондовим ринкам залучати більше клієнтів та створити світовий фондовий ринок.

3. Лондон, Париж, Нью Йорк стали домінуючими фондовими біржами.

4. Фондові біржі виникали як центральні елементи у фінансових системах усіх розвинених країн.

5. Потенційні інвестори, страхові компанії, пенсійні фонди, державні та приватні підприємства вбачають у цінних паперах дешевий та зручний засіб фінансів.

6. Інвестор, який купує нові цінні папери бере участь у первинному фінансовому ринку, а інвестор, який перепродає цінні папери – у вторинному фінансовому ринку.

7. Існує два основних типи фондових бірж: організовані біржі та менш формальні, неорганізовані.

8. Позабіржовий ринок – мережа надійних дилерів, які купують та продають цінні папери один в одного або для власної вигоди, або ж для дрібних клієнтів.

9. Цінні папери, які не внесені до курсового бюлетеню на біржах, продаються на позабіржовому ринку. Вони включають: акції, привілейовані акції, корпоративні облігації та інші цінні папери.

10. Інвестори потребують повну на надійну інформацію про акції та ринки.

Ex.8. Match each term in Column A with its definition in Column B:

 

Ex.9. Write several paragraphs on the following using given words and word combinations:

a) the appearance of formal stock markets:

professional intermediation; supply of; demand for; transferable securities; stock exchanges.

 

b) stock exchanges as central elements in the financial system

potential investors; insurance companies; governments; to see; means of finance.

 

c) primary and secondary financial markets:

investor; to purchase; securities; to resell; to participate.

 

d) types of stock markets

basic types; organized exchanges; NYSE; LSE; less formal; over-counter market.

 

 

— III. ORAL PRACTICE

A. DIALOGUE

1. Read and translate the dialogue in pairs: