EXERCISE 17 As a forex trader you can borrow or lend euro at a 3,25% interest rate, and GBP at a 5,5% interest rate. Spot and 90-day forward exchange rates are: 0,7122 /e y 0,725 /E. Considering an amount of 1.000.000 euros, or its GBP equivalent, and considering no transaction costs: a) Can you arbitrage? How can you do that? b) If 90-day forward Exchange rate now is 0,715 /, given the other conditions, which would be the best strategy