Question: The one-year forward rate for the Swiss franc is SF1.1473/$. The spot rate is SF1.1596/$. The interest rate on a risk-free asset in Switzerland is
The one-year forward rate for the Swiss franc is SF1.1473/$. The spot rate is SF1.1596/$. The interest rate on a risk-free asset in Switzerland is 2.63 percent. If interest rate parity exists, what is the one-year risk-free rate in the U.S.?
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