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The theory that the annual percentage differential in the forward market for a currency quoted in terms of another currency is equal to the approximate
The theory that the annual percentage differential in the forward market for a currency quoted in terms of another currency is equal to the approximate difference in interest rates in the two countries is known as | ||||||||||||||||||||
A | Covered interest arbitrage | |||||||||||||||||||
B | inflation | |||||||||||||||||||
C | hedging | |||||||||||||||||||
D | interest rate parity | |||||||||||||||||||
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