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You are studying interest parity conditions and are looking at examples that occurred last year (2021). You see the following: Spot rate on January

You are studying interest parity conditions and are looking at examples that occurred last year (2021). You

You are studying interest parity conditions and are looking at examples that occurred last year (2021). You see the following: Spot rate on January 1, 2021: Interest rate in U.S. on January 1, 2021: Interest Rate in Brazil on January 1, 2021: Actual spot rate on October 1, 2021: 4.025 BRL/USD (BRL = Brazilian real) 4% 8% 5.757 BRL/USD Assuming the market was in equilibrium and that interest rate parity conditions held, what was the forward rate for BRL/USD on January 1st, 2021 for delivery on October 1st, 2021 (nine-month rate)?

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