Explain the different risks associated with the Forex Dealing Room Operations. Suggest some measures to eliminate or reduced such risks.

Forex Dealing Room Operations in international banking involve various risks that financial institutions must navigate to ensure smooth and profitable operations. These risks can be broadly categorized into market risk, credit risk, operational risk, and legal/regulatory risk.

1. Market Risk:
   - Exchange Rate Risk: Fluctuations in exchange rates can significantly impact a bank's profitability. Changes in currency values may result from geopolitical events, economic indicators, or market sentiment. Banks are exposed to market risk when holding open positions in various currencies.
   - Interest Rate Risk: Interest rate differentials between currencies can _____ _______ ________ _______ _________ ________ ____ _____ ___ ____ ___.
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