Trading in Foreign Currency

Interest on loans

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Question

Is it permissible to trade foreign currency through the bank (buying dollars from the bank when their value is low, and selling them when their value is high)?

Answer

Hello

There is no problem with this. There is no issue of interest when it comes to buying and selling.

When it comes to a loan, attention must be paid to the issue of interest: for example, when borrowing in one currency and repaying in another. Or when borrowing foreign currency.

Source

Bava Metzia 63: Shulchan Aruch Yoreh De'ah, Siman 162

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