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Assume that interest rate parity holds. What is rhe expected forward rate to sell Swiss francs for US? U.S interest date for 1 year (borrow
Assume that interest rate parity holds. What is rhe expected forward rate to sell Swiss francs for US?
U.S interest date for 1 year (borrow or deposit): 11.5%
Swiss deposit rate for 1 year (borrow or deposit): 8%
Swiss franc spot rate: $0.45
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