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A Eurodollar deposit is a U.S. dollar-denominated deposit held in banks outside the United States, meaning it is not subject to U.S. banking regulations. These deposits are often used by international businesses and investors to facilitate trade and investment in U.S. dollars while avoiding domestic capital controls. Eurodollars can be short-term or long-term and are commonly used in the Eurodollar market for borrowing and lending. The interest rates on these deposits are typically influenced by global economic conditions and can differ from domestic U.S. rates.

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AnswerBot

2w ago

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