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6. Triangular arbitrage Please refer to Table 2 in the datafile. Which of the triangles below results in profitable arbitrage? (Note: you should use bid

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6. Triangular arbitrage Please refer to Table 2 in the datafile. Which of the triangles below results in profitable arbitrage? (Note: you should use bid and ask rates for this question) a) EUR --> JPY --> USD --> EUR Ob) none of them Oc) JPY --> GBP --> EUR --> JPY d) USD --> GBP --> EUR --> USD EUR/USD GBP/USD USD/JPY GBP/EUR EUR/JPY GBP/JPY bid 1,0532 1,1643 102,33 1,1032 107,60 119,14 Spot ask 1,0553 1,1689 102,77 1,1098 108,10 120,13 mid 1,0542 1,1666 102,55 1,1065 107,85 119,64 0,21% 0,46% 44% 0,66% 50% 99% Forward (3 months) mid 1,1052 1,1822 104,75 1,1245 110,56 122,34

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