Question: Calculate the conditional correlation estimate between X and Y for tomorrow given that volatility estimates for tomorrow for X and Y are 0.013 and 0.015,

Calculate the conditional correlation estimate between X and Y for tomorrow given that volatility estimates for tomorrow for X and Y are 0.013 and 0.015, respectively. Also given that the yesterday's covariance estimate for today was 0.00005 and the returns at closing of today were 0.019 and 0.025 for X and Y, respectively. All updates are made using a GARCH(1,1) model with a= 0.04; b=0.94 and for the correlation w =0.000001.

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