CPQ configured currency conversion rates for markets, appear to fixed values in setup and a quote item/s may not reflect the true Rate of Exchange when a change in market is made. Is there a better approach to this..., perhaps a conversion rate update at quote level? Any suggestion will be appreciated.
If you ever find a good solution to this, please let us know.
But this is why we chose not to mess with CPQ's currency functionality, and instead, we introduced an Exchange Rate attribute into every program. Every pricing field multiplies the price by this Exchange Rate. And the Exchange Rate is set based on the Project Market attribute (which is defaulted to the Quote's Market, which in turn is defaulted to the quote owner's market). So, for Project Market:US, Exchange Rate is simply 1. For non-US markets, exchange rate is looked up in a table based off of the item's effective date.
This way, we can add new excharge rates to the global table periodically, and as long as the item's effective date stays the same, it keeps the same exchange rate (which is useful when you want to promise a quote price for some length of time).
Hope that helps.