In column K, Compute an estimate of the real 90 Day Euro Yen Rate. In column L, Compute an estimate of the real 90 Day Euro Dollar Rate. In column M, compute the difference in these real rate estimates (Japan minus US). Describe what you learn from these data, and what they imply for the borrowing program at BID.
THE BANK FOR INTERNATIONAL DEVELOPMENT Exhibit 2 1 2 3 4 5 6 7 Selected Historical Interest Rates, Inflation Rates, & Exchange Rates Date Fwd FX Fwrd Ex 90-day Euro Yen 90-day Euro $ Qtrly Japan CPI Infi Qtrly U.S. (end of month) 90-day Y/$ Spot Fx Rate Y/$ Qtrly Premium Rate Rate CPI Infi 8 9 LO 1 Mean 0.8075% 1.5017% 0.3670% 0.9818% 152.07 -0.6712% 1 .2 3 -4 5 -6 -7 28 -9 CO 21 2 23 24 25 26 .7 28 29 Std. Dev. Jan-76 Feb-76 Mar-76 Apr-76 May-76 Jun-76 Jul-76 Aug-76 Sep-76 Oct-76 Nov-76 Dec-76 Jan-77 Feb-77 Mar-77 Apr-77 May-77 Jun-77 0.7965% 1.2340% 1.2935% 1.5015% 1.2340% 1.6774% 1.4709% 1.5156% 1.4426% 1.5885% 1.4709% 1.6189% 1.6025% 1.4426% 1.3669% 1.5603% 1.3077% 1.3669% 1.4260% 0.9030% 1.2792% 1.3527% 1.3385% 1.3101% 1.5744% 1.4567% 1.3693% 1.3527% 1.3977% 1.2935% 1.2507% 1.2198% 1.2792% 1.2507% 1.2650% 1.2792% 0.9549% 3.3379% 3.0693% 2.93 20% 1.0050% -0.1260% 2.3589% 2.4693% 3.3481% 1.5825% 1.9324% 2.5287% 2.1506% 2.8304% 3.1600% 1.9895% 0.1162% -0.8097% 1.6092% 0.8511% 1.0317% 1.3206% 1.4620% 1.6000% 1.5908% 1.4409% 1.2903% 0.9993% 0.9964% 1.1332% 1.9691% 2.2410% 2.5036% 1.9311% 2.0563% 1.6349% 1.4916% 1.2138% 151.00 58.82 303.80 302.30 302.80 299.43 300.60 298.33 294.00 289.45 288.15 294.93 296.95 293.60 288.80 284.20 278.55 277.85 277.21 266.77 59.31 303.70 302.25 299.70 299.40 299.95 297.40 293.40 288.75 287.45 293.70 295.75 292.80 289.30 282.70 277.50 277.70 277.30 267.70 0.6961% 0.0330% 0.0165% 1.0289% 0.0100% 0.2166% 0.3123% 0.2043% 0.2422% 0.2432% 0.4179% 0.4049% 0.2729% -0.1729% 0.5291% 0.3778% 0.0540% -0.0325% -0.3481% 1 1.4709% 1.3977% THE BANK FOR INTERNATIONAL DEVELOPMENT Exhibit 2 1 2 3 4 5 6 7 Selected Historical Interest Rates, Inflation Rates, & Exchange Rates Date Fwd FX Fwrd Ex 90-day Euro Yen 90-day Euro $ Qtrly Japan CPI Infi Qtrly U.S. (end of month) 90-day Y/$ Spot Fx Rate Y/$ Qtrly Premium Rate Rate CPI Infi 8 9 LO 1 Mean 0.8075% 1.5017% 0.3670% 0.9818% 152.07 -0.6712% 1 .2 3 -4 5 -6 -7 28 -9 CO 21 2 23 24 25 26 .7 28 29 Std. Dev. Jan-76 Feb-76 Mar-76 Apr-76 May-76 Jun-76 Jul-76 Aug-76 Sep-76 Oct-76 Nov-76 Dec-76 Jan-77 Feb-77 Mar-77 Apr-77 May-77 Jun-77 0.7965% 1.2340% 1.2935% 1.5015% 1.2340% 1.6774% 1.4709% 1.5156% 1.4426% 1.5885% 1.4709% 1.6189% 1.6025% 1.4426% 1.3669% 1.5603% 1.3077% 1.3669% 1.4260% 0.9030% 1.2792% 1.3527% 1.3385% 1.3101% 1.5744% 1.4567% 1.3693% 1.3527% 1.3977% 1.2935% 1.2507% 1.2198% 1.2792% 1.2507% 1.2650% 1.2792% 0.9549% 3.3379% 3.0693% 2.93 20% 1.0050% -0.1260% 2.3589% 2.4693% 3.3481% 1.5825% 1.9324% 2.5287% 2.1506% 2.8304% 3.1600% 1.9895% 0.1162% -0.8097% 1.6092% 0.8511% 1.0317% 1.3206% 1.4620% 1.6000% 1.5908% 1.4409% 1.2903% 0.9993% 0.9964% 1.1332% 1.9691% 2.2410% 2.5036% 1.9311% 2.0563% 1.6349% 1.4916% 1.2138% 151.00 58.82 303.80 302.30 302.80 299.43 300.60 298.33 294.00 289.45 288.15 294.93 296.95 293.60 288.80 284.20 278.55 277.85 277.21 266.77 59.31 303.70 302.25 299.70 299.40 299.95 297.40 293.40 288.75 287.45 293.70 295.75 292.80 289.30 282.70 277.50 277.70 277.30 267.70 0.6961% 0.0330% 0.0165% 1.0289% 0.0100% 0.2166% 0.3123% 0.2043% 0.2422% 0.2432% 0.4179% 0.4049% 0.2729% -0.1729% 0.5291% 0.3778% 0.0540% -0.0325% -0.3481% 1 1.4709% 1.3977%
