Question
Assume the following information: Beal Bank. Yardley Bank. Bid price of New Zealand dollar $.402 $.398 Ask price of New Zealand dollar $.404 $.399 Given
Assume the following information:
Beal Bank. Yardley Bank.
Bid price of New Zealand dollar $.402 $.398
Ask price of New Zealand dollar $.404 $.399
Given this information, is locational arbitrage possible? if so, explain the steps involved in locational arbitrage, and compute the profit from this arbitrage if you had 1,000,000 to use. What market forces would occur to eliminate any further possibilities of locational arbitrage?
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The Essentials Of Machine Learning In Finance And Accounting
Authors: Mohammad Zoynul Abedin, M. Kabir Hassan, Petr Hajek, Mohammed Mohi Uddin
1st Edition
0367480816, 978-0367480813
