In the unforeseen event that a particular maturity date is declared a public holiday, what is normal market practice for spot FX? :
A) Extend the contract to the next business day
B) Shorten the contract to the previous business day
C) A new maturity date has to be agreed by the two pa
D) ACI's Committee for Professionalism decides on a c

Question

Quizplus · Accepted Answer

The normal market practice for spot FX in the unforeseen event that a particular maturity date is declared a public holiday is to extend the contract to the next business day. This is done to ensure that both parties are still able to fulfill their obligations and settle the transaction.

In the Unforeseen Event That a Particular Maturity Date Is