The six-month forward rate between the British pound and the U.S. dollar is $1.75 per pound. If

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The six-month forward rate between the British pound and the U.S. dollar is $1.75 per pound. If six month interest rates are 3% in the United States and 150 basis points higher in England, what is the current exchange rate?

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Financial Markets and Institutions

ISBN: 978-0133423624

8th edition

Authors: Frederic S. Mishkin, Stanley G. Eakins

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Question Posted: May 23, 2018 12:46 AM

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The six-month forward rate between the British pound and the U.S. dollar is $1.75 per pound. If

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Financial Markets and Institutions

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