Foreign exchange, usually a foreign exchange contract, is a contract. A standardized contract made by a foreign exchange to deliver a certain amount of subject matter at a specific time and place in the future. This subject matter, also known as the underlying asset, can be a commodity, such as copper or crude oil, a financial instrument, such as foreign exchange and bonds, or a financial indicator, such as three-month interbank offered rate or stock index. Foreign exchange trading is an inevitable product of the development of market economy to a certain stage.