Imagine you run a business. In three months, you need to pay a supplier in euros. You know the exact amount, but you don’t know what the exchange rate will be. A sudden move could turn a profit into a loss. That’s where currency forwards and futures come in. They let you lock in an exchange rate today for a transaction that happens later. In this chapter, we’ll see how these contracts work, how companies use them to manage risk, and how speculators try to profit from exchange rate moves.