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The futures price for a contract deliverable in one year is 0.6763 US Dollars per 1.000 Austalian Dollar. The current spot exchange rate is 0.6735

The futures price for a contract deliverable in one year is 0.6763 US Dollars per 1.000 Austalian Dollar. The current spot exchange rate is 0.6735 US Dollars per 1.000 Australian Dollar. According to parity, what must be true about one-year interest rates in Australian and the United States.

Interest rates are higher in the United States.

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Interest rates are higher in Australia.

Interest rates are the same in both countries.

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