Arbitrage Meaning in English
word
Definition
Arbitrage is the practice of buying something in one market and selling it in another at a higher price, making a profit from small price differences. It is often used in finance, especially in stocks, currencies, or commodities.
Usage & Nuances
'Arbitrage' is a formal, technical term mainly used in finance and economics. Common collocations: 'arbitrage opportunity', 'currency arbitrage'. Not typically used in casual conversation. Do not confuse with 'mediation'—arbitrage is about price differences, not solving arguments.
Example Sentences
Many investors look for arbitrage opportunities in the stock market.
basic
Arbitrage can make markets more efficient.
basic
Currency arbitrage is common in global finance.
basic
He made a quick profit through a smart arbitrage trade between two exchanges.
natural
Without price differences, there would be no chance for arbitrage.
natural
Thanks to modern technology, arbitrage can happen in just a few seconds across the world.
natural