Problem: Interest Rate Parity Theory
Currency ‘X’ having 6% risk free rate for 6 months has a spot rate of 30Y. Where Y is another currency and has 4% risk free rate for 8 months period. The 6 months forward rate of ‘X’ in terms of 'Y' would be?Dec 2018
Currency ‘X’ having 6% risk free rate for 6 months has a spot rate of 30Y. Where Y is another currency and has 4% risk free rate for 8 months period. The 6 months forward rate of ‘X’ in terms of 'Y' would be?Dec 2018
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