ACI Dealing Certificate 3I0-012 Question # 411 Topic 19 Discussion

ACI Dealing Certificate 3I0-012 Question # 411 Topic 19 Discussion

3I0-012 Exam Topic 19 Question 411 Discussion:
Question #: 411
Topic #: 19

You and a dealer at another bank have a verbal bilateral reciprocal arrangement to quote each other two-way prices. During periods of high volatility, the other dealer refuses to quote to you. What does the Model Code say about this situation?


A.

The other dealer is bound to reciprocate.


B.

This is not in any way an enforceable or binding commitment.


C.

The Model Code does not comment on dealing reciprocity.


D.

It is common market practice to suspend reciprocity in periods of high volatility.


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