Find the 5-month interest rate if spot gold price is $1700 and 5-month forward gold price is

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Find the 5-month interest rate if spot gold price is $1700 and 5-month forward gold price is $1720

Knowing that All interest rates are annual interest rates All interest rates are continuously compounded (unless specified otherwise). The face value of all bonds is $100, the coupon payments are semiannual (unless specified otherwise).

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Derivatives Markets

ISBN: 978-0321543080

4th edition

Authors: Rober L. Macdonald

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Posted Date: May 10, 2024 05:40 AM

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Find the 5-month interest rate if spot gold price is $1700 and 5-month forward gold price is

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To find the 5month interest rate we can use the formula for the re... View the full answer

Derivatives Markets

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