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Assume the forward rate is 1.5 dollars per pound and the spot rate is also $1.50 per pound. We can conclude that: The interest rate

Assume the forward rate is 1.5 dollars per pound and the spot rate is also $1.50 per pound. We can conclude that:

		The interest rate in the US will be zero.
		The interest rate in the US will be equal to the interest rate in UK.

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