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Assume that you are a U.S. investor. The nominal return on a U.S. bond is 4% and the nominal return on a German bond is

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Assume that you are a U.S. investor. The nominal return on a U.S. bond is 4% and the nominal return on a German bond is 6%. Both bonds mature in one year. The current exchange rate is 1.23 (/$. If uncovered exchange rate parity holds, you would expect the exchange rate a year from now to be | E/$. (Round your response to two decimal places.)

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