In January 2023, the exchange rate between Euro (€) and U.S. dollar ($) is $0.99/€.The nominal interest rate for the E.U. and U.S for the next 1-year period is 11% and 8%, respectively. Also, the real interest rate for the E.U. and U.S for the next 1-year period is 5% and 6%, respectively. 

What would you forecast the exchange rate to be at around January 2024?

Answer rating: 100% (QA)

To forecast the exchange rate between the Euro and US dollar in January 2024 we can use the interest ... View the full answer