Book

In a professional trading environment, a 'book' is the summary of a trader's or desk's total positions.

Big Figure

Dealer expression referring to the first few digits of an exchange rate. These digits rarely change in normal market fluctuations, and therefore are omitted in dealer quotes, especially in times of high market activity. For example, a USD/Yen rate might be 107.30/107.35, but would be quoted verbally without the first three digits i.e. "30/35".

Bid / Ask Spread

The difference between the bid and offer price, and the most widely used measure of market liquidity.

Bid Rate

The rate at which a trader is willing to buy a currency

Bear Market

A market distinguished by declining prices.

Base Currency

In general terms, the base currency is the currency in which an investor or issuer maintains its book of accounts. In the FX markets, the US Dollar is normally considered the 'base' currency for quotes, meaning that quotes are expressed as a unit of $1 USD per the other currency quoted in the pair. The primary exceptions to this rule are the British Pound, the Euro and the Australian Dollar.

Balance of Trade

The value of a country's exports minus its imports.