Suppose during the first half of the year, government bonds yielded a local currency return of 1.6%.

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Suppose during the first half of the year, government bonds yielded a local currency return of  1.6%. However, the Swiss franc rose by 8% against the dollar over this six month period. Corresponding figures for France were 1.8% and 2.6%. Which bond earned the higher U.S. dollar return? What was the return?

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