Question
Suppose the spot price of gold is $1200 per ounce. The futures price for delivery in six months is $1208, while the futures price for
Suppose the spot price of gold is $1200 per ounce. The futures price for delivery in six months is $1208, while the futures price for delivery in one year is $1214. The interest rate on 6-month loans is 1.00percent (on an annual basis).
What is the implied interest rate for the first six months?
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Principles Of Finance With Excel
Authors: Simon Benninga, Tal Mofkadi
3rd Edition
0190296380, 9780190296384
