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QUESTION 3 Due to _______, market forces should realign the cross exchange rate between two foreign currencies based on the spot exchange rates of the

QUESTION 3

Due to _______, market forces should realign the cross exchange rate between two foreign currencies based on the spot exchange rates of the two currencies against the U.S. dollar.

		forward realignment arbitrage
		triangular arbitrage
		covered interest arbitrage
		locational arbitrage

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