PLEASE HELP!
(Show all your calculations and explain your work. All currency amount answers should be presented with two decimal places, all currency rates with the same number of decimals they are given, and all rates of change and premiums/discounts with four decimal places)
PLEASE HELP! A London dealer bank’s current bid/ask quotes for the U.S. dollar are £0.7720/$ and...
1. A London dealer bank’s current bid/ask quotes for the U.S. dollar are £0.7720/$ and £0.7980/$. If you want to sell $12,000,000 to that dealer, how many british pounds would you receive? 2. A London dealer bank’s current bid/ask quotes for the U.S. dollar are £0.7720/$ and £0.7980/$. If you want to buy £16,000,000 from that dealer, how many dollars would you pay? 3. How would the NY branch of the London dealer bank in the above question quote its...
A London dealer bank’s current bid/ask quotes for the U.S. dollar are £0.7810/$ and £0.7990/$. If you want to buy $16,000,000 from that dealer, how many British pounds would you pay? How would the NY branch of the London dealer bank in the above question quote its bid and ask prices if it wants to be consistent with the prices of its parent bank?
Assume the quotes indicated below are from a dealer in the NY currency market. Forward prices are quoted as the absolute forward premium or discount (not percentage) in basis points (one basis point = .0001). Part 1. Forward exchange rates 1a. If the dealer’s spot market quotes for the British pound (£) are 1.3195 1.3200, and the dealer’s 6-month forward quotes for the euro are: -20 -12, what are the dealer’s effective 6-month forward bid and ask prices for the...
Assume the quotes indicated below are from a dealer in the NY currency market. Forward prices are quoted as the absolute forward premium or discount (not percentage) in basis points (one basis point = .0001). Part 1. Forward exchange rates 1a. If the dealer’s spot market quotes for the British pound (£) are 1.3195 1.3200, and the dealer’s 6-month forward quotes for the euro are: -20 -12, what are the dealer’s effective 6-month forward bid and ask prices for the...
Assume the quotes indicated below are from a dealer in the NY currency market. Forward prices are quoted as the absolute forward premium or discount (not percentage) in basis points (one basis point = .0001). Part 1. Forward exchange rates 1 a. If the dealer’s spot market quotes for the Canadian dollar are 1.3218 1.3222, and the dealer’s 9-month forward quotes for the Canadian dollar are: -81 -77, what are the dealer’s effective 9-month forward bid and ask prices for...
Assume the quotes indicated below are from a dealer in the NY currency market. Forward prices are quoted as the absolute forward premium or discount (not percentage) in basis points (one basis point = .0001). Part 1. Forward exchange rates 4 a. If the dealer’s spot market quotes for the Russian ruble are: 65.7120 65.7130, and the dealer’s 3-month forward quotes for the ruble are: 2003 2040, what are the dealer’s effective 3-month forward bid and ask prices for the...
The following are quotes from a currency dealer in the New York currency market: 2. Using the quotes provided above, answer the following question. (Phrase your explanation in parts b and d: as “If you sell one (specify the currency) to the dealer, you will receive (specify the number of units and the currency)” or “If you buy one (specify the currency) from the dealer, you will pay (specify the number of units and the currency)”.) 2a. What is the...
The following are quotes from a currency dealer in the New York currency market: Using the quotes provided above, answer the following question. (Phrase your explanation in parts b and d: as “If you sell one (specify the currency) to the dealer, you will receive (specify the number of units and the currency)” or “If you buy one (specify the currency) from the dealer, you will pay (specify the number of units and the currency)”.) 3. Using the quotes provided...
The following are quotes for several U.S. currency dealers. Dealer A B C D E Japanese yen 109.03 109.06 109.04 109.08 109.06 109.10 109.05 109.07 109.07 109.09 British pounds 1.3115 1.3119 1.3118 1.3120 1.3115 1.3118 1.3116 1.3117 1.3115 1.3118 Triangular arbitrage (Inter-market) - assume that the highest bid and lowest ask for each currency are equal (so that the bid-ask spread is zero) 3. The New York spot exchange rate for Canadian dollar (USD/CAD) is 1.2146 and the spot exchange...
The following are quotes from a currency dealer in the New York currency market: Spot exchange rates and trades 1a. Which currency above has the widest bid ask spread? Which has the narrowest? b. Which currency above has the widest percentage bid ask spread? Which has the narrowest? 2. Using the quotes provided above, answer the following question. (Phrase your explanation in parts b and d: as “If you sell one (specify the currency) to the dealer, you will receive...