Help with my course questions

rascal07

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Hi, i've just got onto a grad training scheme with a prop firm and need a little help answering some questions in the course pack. Some the questions i kinda know the answer to but they've set the pass rate so damn high i need it to be perfect!

Equities
We have to know the top 5 companies in each the major indices.

I seem to get conficting info from websites. Is there anyway to calculate what the current market cap of a company ?
OLI Large Caps - Top 20 by Market Capitalization
The Forbes 2000 - Forbes.com

E.g for the UK its

BP
Royal Dutch Shell
Vodafone
GlaxoSmithKline
HSBC

someother websites put RBS in the top 5 but i doubt it is right now!

The ECB

Am i right in thinking its jus 6 members on the executive board who vote for i rate changes. i find ecb website is unclear and rubbish

FX

What is the difference between a pair and a cross?
How they can effect different financial markets?

I know Gold and the $ are usually inversely related but at the moment they are moving together right?

are there any other standard relations. there must be a relationship between the dollar and oil as if the dollar is weak, countries purchasing power will increase boosting demand for oil?

What does book squaring mean?

If the market expects a rate hike from the mpc with a vote of 8/1 in favour. It emerges that the vote was in fact 5/4 in favour, which product would be most directly affected and what would u expect to happen in this market?

as STIR products are based on interest rates i would imagine these would be the most affected. if the hike is already priced into the market and it emerges the vote was closer than expected would this imply that further rate hikes are not expected and thus increasing the value of bonds and short sterling?

how do countries strengthen their currency?

buy bonds on the open market?
buy the £ by selling the euro using currency reserves?
increase i rates

What type of yield curve indicates an upcoming recssion?

is that an inverted curve. so high i rates now, low rates in the medium term followed by higher rates in the long term?

The number of derivative contracts that are currently active on a specific underlying security and that have identical terms is know as what?

open interest?

any answers much appreciated

thanks

rascal07
 
I will tell you one of them, but if you can't be bothered to do the research /work now do you deserve the rewards?


MKT CAP

No shares in issue x price
 

Lots of Q's there, rascal,
You work out the market cap by number of shares issued X share price.

On the whole, I think you need a course at City level., try looking at BPP, or Securities Institute.
 
hi guys, thanks for posting. i've been to bloomberg, reuters, yahoo, lse and cnn websites so far and i can't find data for the number of shares issued. surely u can find that out on the net
 
thanks foredog, if anyone could answer this question it would be very much appreciated

If the market expects a rate hike from the mpc with a vote of 8/1 in favour. It emerges that the vote was in fact 5/4 in favour, which product would be most directly affected and what would u expect to happen in this market?
 
most uk fixed income markets but the question is angling at short sterling futures i'm guessing. mpc votes and then releases minutes a fortnight later so the rate change would have already happened. the 5/4 would suggest that not all of the members were as hawkish as expected so the market would rally (short sterling this is)
 
thanks foredog, if anyone could answer this question it would be very much appreciated

If the market expects a rate hike from the mpc with a vote of 8/1 in favour. It emerges that the vote was in fact 5/4 in favour, which product would be most directly affected and what would u expect to happen in this market?

Have to ask what did you graduate in ? This basic stuff google it Its already built into market what MPC votes. US farmroll is more fun though !!!
 
Have to ask what did you graduate in ? This basic stuff google it Its already built into market what MPC votes. US farmroll is more fun though !!!

the implication is that 8-1 is priced in and 5/4 comes out so it will move the market. perhaps you should be googling.
 
alright chill out lads, i guess i deserve some abuse. I studied economics from a russell group university and got a 2:1. make u feel any better about the nations future? lol
 
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