“Live exchange rates”
Live exchange rates are the only truly accurate rates in the foreign exchange market.
This is because, like the global currency markets they mirror, they constantly change with market movements in real time. Exchange rates are constantly changing due to a plethora of reasons including: levels of inflation; interest rates; import and export levels; and geopolitical stability.
In foreign exchange, daily quoted exchange rates have traditionally been more commonplace than live exchange rates, though the latter are now evermore popular, with more foreign exchange providers working with live rates, rather than daily quotes.
Live exchange rates are transparent and accurate, whereas daily quotes give the customer one quote on an exchange rate for an entire day, when in reality, the real exchange rate could be higher or lower.
The danger with closing transactions based on a daily exchange rate quote is that there is a risk of missing out on a live rate which could be more favourable.