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Jasper Pernik is a currency speculator who enjoys betting on changes in the foreign currency exchange market. Currently the spot price for the Japanese yen
Jasper Pernik is a currency speculator who enjoys "betting" on changes in the foreign currency exchange market. Currently the spot price for the Japanese yen is 129.87/$ and the 6-month forward rate is 128.53/$. Jasper thinks the yen will move to 128.00/$ in the next six months. Jasper should ________ at ________ to profit from changing currency values.
Select one:
A. sell yen; the forward rate
B. buy yen; the forward rate
C. buy dollars; the forward rate
D. There is not enough information to answer this question
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