On August 8th the six month risk free rate of interest in Switzerland was 4 percent If the spot exchange rate for dollars for Swiss francs is 0 9252 and the six month forward exchange rate is 0 9270, what would you expect the U S six month risk free rate to be ...

To find the implied 6month US riskfree rate we will use equa ...

On August 8th the six-month risk-free rate of interest in Switzerland was 4 percent. If the spot

Question:

On August 8th the six-month risk-free rate of interest in Switzerland was 4 percent. If the spot for dollars for Swiss francs is 0.9252 and the six-month forward is 0.9270, what would you expect the U.S. six-month risk-free rate to be?

Exchange Rate
The value of one currency for the purpose of conversion to another. Exchange Rate means on any day, for purposes of determining the Dollar Equivalent of any currency other than Dollars, the rate at which such currency may be exchanged into Dollars...