Data for the money market and forex market in the US and UK are given below:

London, UK

New York, USA

Spot Exchange Rate

$1.6000/

0.6250/$

One-year T-Bill rate

5.0000%

6.0000%

Is the forex market in equilibrium now? Respond Yes or No

Substantiate your response Yes or No with a mathematical proof

Based on the following current information from both markets, estimate the forward rate between the two currencies in London, UK.?

Estimate the forward rate in New York, USA?