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You're a Forex trader at a major international bank, specializes in USD/trades. The current exchange rate is $1.0855. The 6-month futures contract is at $1.0765.
You're a Forex trader at a major international bank, specializes in USD/trades. The current exchange rate is $1.0855. The 6-month futures contract is at $1.0765. The inflation rate in the US is expected to be 2% and 6% in Germany. You decided to carry out an arbitrage trade worth $50,000,000. Show how will the trade work and how much money you can make with this trade
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