Jens Kundsten, a currency trader for Statoil - the national oil company of Norway, is faced with the following market rates (Nok is the symbol of the Norwegian krone and USD represents the US dollar): a) Briefly describe what uncovered interest arbitrage (UIA) is. (5 points) b) What would be Jens's loss/gain from the UIA if six months later the spot exchange rate between the Norwegian krone and the U.S. dollar is Nok6.0475?\$? (5 points) c) At what future spot exchange rate between the Norwegian krone and the U.S. dollar six months from now will Jens break even? (5 points) Jens Kundsten, a currency trader for Statoil - the national oil company of Norway, is faced with the following market rates (Nok is the symbol of the Norwegian krone and USD represents the US dollar): a) Briefly describe what uncovered interest arbitrage (UIA) is. (5 points) b) What would be Jens's loss/gain from the UIA if six months later the spot exchange rate between the Norwegian krone and the U.S. dollar is Nok6.0475?\$? (5 points) c) At what future spot exchange rate between the Norwegian krone and the U.S. dollar six months from now will Jens break even? (5 points)