SPOT vs SWAP markets

The speaker explains the difference between spot and swap markets.  He explains that the spot market settles transactions "on the spot" or immediately.  Delivery of the product would be within 2 business days.  Conversely, the SWAP transaction is carried out by the broker and is only executed if the open position remains open the next trading day.  In the forex market, interest is paid, or owed for holding a currency pair and depends on which currency was bought or sold in the pair.  Remember, each currency has an interest rate associated with them.