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The Federal Reserve decides to implement a policy of buying securities on the open market while the Bank of England maintains their current monetary policy.

The Federal Reserve decides to implement a policy of buying securities on the open market while the Bank of England maintains their current monetary policy. Based on the expected change in interest rates that will occur, what will be the change in exchange rates of the U.S. dollar versus the British pound?

Will the dollar appreciate, depreciate, or experience no change?

Will the pound appreciate, depreciate, or experience no change?

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