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suppose that the spot rate of the euro is $1.199 and is trading at a forward discount of 4.9%. If all of the parity conditions

suppose that the spot rate of the euro is $1.199 and is trading at a forward discount of 4.9%. If all of the parity conditions discussed in class hold, what should be the market expectation for the dollar-per-euro spot rate 5 months from now? Give your answer to 3 decimal points.

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