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How can you get these numbers of exchange rate regarding PPP 1 year forecast which are highlighted with blue. About table 3 acy of our
How can you get these numbers of exchange rate regarding PPP 1 year forecast which are highlighted with blue.
About table 3
acy of our forecasts by conducting a back test can be done upon request. Table 2: Inflation rate forecast, risk-free rates and spot exchange of relevant countries Inflation rate forecast (2016 - 2017) AUS USA PGK China 2.02% 2.56% 7.50% 2.30% Interest rate (government 1-year) AUS USA 1.58% 0.80% PGK 7.79% China 2.85% Spot exchange rate USD/AUD PGK/AUD CNY/AUD 0.7659 2.4337 5.2578 Source: IMF, ASX, Trading Economics, The People's Bank of China, Bank of Papua New Guinea, the Reserve Bank of Australia Note: This table presents the basic information for the Intemational Fisher Effect and the Purchase Power Parity Analyses. Inflation rates are forecasted by the IMF. Table 3: 1-year exchange rate forecasts International Fisher Effect: 1 year forecast USD/AUD PGK/AUD 0.7600 2.582 Exchange Rate CNY/AUD 5.323 Growth rate Growth + 1 Exchange Rate PPP: 1 year forecast USD/AUD 0.53% 1.0053 0.7700 PGK/AUD 5.38% 1.0538 2.5646 CNY/AUD 0.28% 1.0028 5.2725 PGK/AUD Bid Ask Mid-point 1 year forward rate USD/AID 0.76138 0.76140 0.7614 CNY/AUD 5.3305 5.3314 5.3309 Expected change in the AUD value USD/AUD PGK/AUD CNY/AUD IFE -0.77% 6.11% 1.25% PPP 0.53% 5.38% 0.28% Forward rate -0.59% 1.39% Source: IMF, ASX, Trading Economics, The People's Bank of China, Bank of Papua New Guinea, the Reserve Bank of Australia Note: This table presents the basic information for the International Fisher Effect and the Purchase Power Parity Analyses. Inflation rates are forecasted by the IMF Step by Step Solution
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