The following are quotes from a forex trader on the New York forex market:

Split	spot quote
Australian dollar (AUD/USD)	0,7832 - 0,7834
Brazilian Real (USD/BRL)	3,2335 - 3,2365
Pound Sterling (GBP/USD)	1.3507 - 1.3509
Canadian dollar (USD/CAD)	1.2555 - 1.2557
Euros (EUR/USD)	1.1948 - 1.1949
Japanese yen (USD/JPY)	111,44 - 111,45
Mexican Peso (USD/MXP)	19.3653 - 19.3718
New Zealand Dollar (NZD/USD)	0,7181 - 0,7184
Thai Baht (USD/THB)	32.1240 - 32.1430
Egyptian pound (USD/EGP)	17.6860 - 17.8460
Won surcoreano (USD/KRW)	1067,53 - 1069,53
Swiss Franc (USD/CHF)	0,9789 - 0,9791

Forward prices are quoted as absolute (not percentage) forward premium or discount in basis points (one basis point = 0.0001).

Split	Period	Term Premium/Discount
Brazilian Real (USD/BRL)	9 months	1017 1120
Euros (EUR/USD)	6 months	143 144
New Zealand Dollar (NZD/USD)	1 year	-19 -15
Swiss Franc (USD/CHF)	3 months	-58 -56

7th If the broker's spot and forward quotes for the euro (€) are given above, what are the broker's bid and ask prices for a 6-month forward contract in the euro?

b. If a customer entered into a forward contract with this dealer to sell $1 million to earn euros, how many euros would the customer receive in 6 months?

8a. If the broker's spot and forward quotes for the New Zealand dollar (NZ$) are given above, what are the broker's bid and ask prices for a 1-year forward contract in the New Zealand dollar?

b. If a customer entered into a forward contract with this dealer to sell NZ$1 million to obtain US$, how many US$ would the customer receive in a year?

9a. If the broker's spot and forward quotes for the Swiss franc are given above, what are the broker's bid and ask prices for a 3-month forward contract in the Swiss franc?

b. If a client entered into a forward contract with this broker to buy $1 million to earn Swiss francs, how many francs would the client receive in 3 months?

10 am If the broker's spot and forward quotes for the Brazilian real are given above, what are the broker's bid and ask prices for a 9-month forward contract in the Brazilian real?

b. If a customer entered into a 9-month forward contract with this distributor to sell 1 million reais for US dollars, how many US dollars would the customer receive in 9 months?

11. If forward prices are used as a proxy for an expected increase or decrease in the value of a currency, which of the foreign currencies listed above are expected to increase in value over the indicated time period and which are expected to decrease in value? worth?

Answer rating: 100% (QA)

7th The bid and ask prices for a 6month forward contract in the euro can be calculated using the given forward premium or discount Term PremiumDiscount for Euros EURUSD 6 months 143 144 basis points T... View the full answer