Thanks @Mike9241
The reference makes it sounds like fluctuations of currencies for Certificates of deposits are not taxable events:
(a) Disposition of nonfunctional currency -
(1) Recognition of exchange gain or loss -
[...]
(iii) Coordination with section 988(c)(1)(C)(ii). No exchange gain or loss is recognized with respect to the following transactions -
[...]
(B) The deposit of nonfunctional currency in a demand or time deposit or similar instrument (including a certificate of deposit) issued by a bank or other financial institution if such instrument is denominated in such currency;
(C) The withdrawal of nonfunctional currency from a demand or time deposit or similar instrument issued by a bank or other financial institution if such instrument is denominated in such currency;
Am I reading this wrong or missing something?
