Question: Carry trade is a risk trading strategy that involves borrowing in a currency with a relatively low interest rate and lending or investing in

Carry trade is a risk trading strategy that involves borrowing in a currency with a relatively low interest rate and lending or investing in

Carry trade is a risk trading strategy that involves borrowing in a currency with a relatively low interest rate and lending or investing in a currency with a relatively high interest rate. True False If the 180-day forward exchange rate is SF1.30 per US dollar and the spot rate is SF1.25/$, the market is expecting the Swiss Franc to appreciate against the dollar in 6 months. True False

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