The three-month interest rates in the US and the UK are 3% and 6% in the respective
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The three-month interest rates in the US and the UK are 3% and 6% in the respective money-market conventions. Suppose the three-month period has 91 days. The spot exchange rate is £1 = $1.83. What is the arbitrage-free three-month forward price of £ 1?
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