Question
The 3 month forward discount for converting USD to GBP is 1.76% and the 3 month U.S. Treasury bill rate has a yield of 2.25%.
The 3 month forward discount for converting USD to GBP is 1.76% and the 3 month U.S. Treasury bill rate has a yield of 2.25%. Based on interest rate parity, what should the 3 month British treasury bill yield?
| .49% | ||
| 4.01% | ||
| -.49% | ||
| -4.01% |
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Real Estate Finance And Investments
Authors: William Brueggeman, Jeffrey Fisher
16th Edition
1259919684, 978-1259919688
