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Suppose the nominal interest rate in the U.S. is 8% per year, the nominal interest rate in Brazil is 15% per year, and todays spot

Suppose the nominal interest rate in the U.S. is 8% per year, the nominal interest rate in Brazil is 15% per year, and today’s spot rate is S ($/BRL) =0.49. Assuming that the International Fisher Effect holds, what is the expected spot rate S90 ($/BRL) in three months?

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