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What does this imply about interest rate
What does this imply about interest rate 1. Changes in Forward Premiums. Assume that the forward rate premium of the euro was higher last month than it is today. What does this imply about interest rate differentials between the United States and Europe today compared to those last month? 2. Deriving the Forward Rate. Assume that annual interest rates in the U.S. are 4 percent, while interest rates in France are 6 percent. a. According to IRP, what should the forward rate premium or discount of the euro be? b. If the euro- spot rate is $1.10, what should the one-year forward rate of the euro be? Business Management Assignment Help, Business Management Homework help, Business Management Study Help, Business Management Course Help
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23 Apr 2016
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What does this imply about interest rate
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