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5. [6 pts] The current spot rate is 1.22. The one-year forward rate is 1.20. Under no- arbitrage, what is best estimate/ forecast for the

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5. [6 pts] The current spot rate is 1.22. The one-year forward rate is 1.20. Under no- arbitrage, what is best estimate/ forecast for the spot rate in one year? $ your

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