Question: Question 1 4 pts The 6-month interest rate differential between and is C$ 3% (i.e., if - CS = 3%) while the 6-month C$ forward

Question 1 4 pts The 6-month interest rate differential between and is C$ 3% (i.e., if - CS = 3%) while the 6-month C$ forward premium against is 5%. Which currency should you invest in when doing a covered interest arbitrage trading between the two currencies? Either currency Both currencies O CS Question 2 4 pts The 6-month interest rate differential between and is C$ 3% (i.e., i - iC$ = 3%). Which currency should you borrow when doing an uncovered interest arbitrage trading between the two currencies? C$ Both currencies Either currency

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