Direct on the Dollar. Calculate the forward discount of the euro against the dollar (the dollar...
Direct on the Dollar. Calculate the forward discount of the euro against the dollar (the dollar is the home currency) if the spot rate is $ 1.6257 divided by pound and the 6-month forward rate is $ 1.6045 divided by pound. Note: Use a 360-day year. The forward premium on the dollar is nothing%.
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Direct on the Dollar. Calculate the forward discount of the euro
against the dollar (the dollar...
Calculate the forward discount of the euro against the dollar (the dollar is the home currency)...
Calculate the forward discount of the euro against the dollar (the dollar is the home currency) if the spot rate is $ 1.6257 divided by pound$1.6257/£ and the 66-month forward rate is $ 1.6045 divided by pound$1.6045/£. Note: Use a 360-day year. The forward premium on the dollar is nothing%
Calculate the forward premium on the dollar (the dollar is the home currency) if the spot...
Calculate the forward premium on the dollar (the dollar is the home currency) if the spot rate is €1.3300/$ and the 3-month forward rate is €1.3400/$. Note: Use a 360-day year. The forward premium on the dollar is _____________%. (Round to four decimal places).
Dollar/Euro Forwards. Use the following spot and forward bid-ask rates for the U.S. dollar/euro (US$/euro€) from...
Dollar/Euro Forwards. Use the following spot and forward
bid-ask rates for the U.S. dollar/euro
(US$/euro€)
from December
10, 2010, to answer the following questions:
a. What is the mid-rate for each maturity?
b. What is the annual forward premium for all maturities?
c. Which maturities have the smallest and largest forward
premiums?
Period
Bid Rate
Ask Rate
spot
1.32311.3231
1.32321.3232
1 month
1.32301.3230
1.32311.3231
2 months
1.32281.3228
1.32291.3229
3 months
1.32241.3224
1.32271.3227
6 months
1.32151.3215
1.32181.3218
12 months
1.31941.3194
1.31981.3198...
Given that the spot rate is 1.5 euros per pound and the forward euro-pound exchange rate...
Given that the spot rate is 1.5 euros per pound and the forward euro-pound exchange rate is 1.575 euros per pound calculate the forward premium discDunt on the British pound and indicate which of the two it is. Consider a Dutch investor with 1 000 euros to pace in a bank deposit in either the Netherlands or Great Britain. The one-year interest rate on bank deposits is 2% in Britain and 4.04% in the Netherlands. The one year forward euro-pound...
Questions 1-6 Given the following quotes for the euro, direct in Frankfurt, Germany, for the Canadian...
Questions 1-6 Given the following quotes for the euro, direct in Frankfurt, Germany, for the Canadian dollar, answer the following. (When calculating indirect quotes, round to 4 decimal places). Spot 90 day forward 180 day forward Bid 6558 .6553 .6546 Ask .6562 .6560 6553 2. (4 points) On a points basis, the 1 year direct forward rates are 37/29. Given this information what are the 1 year direct outright bid and ask quotes? 3. (2 points) The Canadian dollar is...
Questions 1-6 Given the following quotes for the euro, direct in Frankfurt, Germany, for the Canadian...
Questions 1-6 Given the following quotes for the euro, direct in Frankfurt, Germany, for the Canadian dollar, answer the following. (When calculating indirect quotes, round to 4 decimal places). Spot 90 day forward 180 day forward Bid 6558 .6553 .6546 Ask .6562 .6560 6553 2. (4 points) On a points basis, the 1 year direct forward rates are 37/29. Given this information what are the 1 year direct outright bid and ask quotes? 3. (2 points) The Canadian dollar is...
Spot Question 2 Given below are spot and forward rates expressed in US dollars per unit...
Spot Question 2 Given below are spot and forward rates expressed in US dollars per unit of the Euro and £ Rates 1.5393 1.6030 30 days forward 1.5406 1.6006 60 days forward 1.5425 1.6000 90 days 1.5431 1.5945 180 days 1.5478 1.5859 Required: i. Is the 90-day forward € quoted at a discount or at a premium? ii. Is the 90-day forward contract in pound trading at a discount or at premium? iii. Relative to the pound is the 180...
Questions 1-6. Given the following quotes for the euro, direct in Frankfurt, Germany, for the Canadian...
Questions 1-6. Given the following quotes for the euro, direct in Frankfurt, Germany, for the Canadian dollar, answer the following. (When calculating indirect quotes, round to 4 decimal places). Spot 90 day forward 180 day forward 6546 Bid 6558 .6553 Ask 6562 6560 6553 -12 4. (5 points) On a direct annual basis, the percentage premium or discount on the CS vs, the euro for the 90 day ask quote is about: 5. (5 points) On an indirect annual basis,...
Canadian Dollar: Spot and Forward (C$/$) Euro: Spot and forward ($/€) Mid rates Bid Ask Mid...
Canadian Dollar: Spot and Forward (C$/$) Euro: Spot and forward ($/€) Mid rates Bid Ask Mid rates Bid Ask spot 1.2645 1.2639 1.2651 1.2390 1.2387 1.2393 Forward 3-week 23 27 19 15 3-month 135 128 155 146 7a. How much $100 will cost you in Canadian Dollar and Euro? (Hint: you are buying USD). 7b. What are 3-week and 3-month forward bid and ask rate for Canadian Dollar and Euro? 7c. Based on information above, what are the profit margin...
Use the following spot and forward bid-ask rates for the Japanese yen/U.S. dollar (¥/$) exchange rate...
Use the following spot and forward bid-ask rates for the Japanese yen/U.S. dollar (¥/$) exchange rate from September 16, 2010, to answer the following questions: a. What is the annual forward premium on the yen for all maturities? (Assume that the U.S. dollar is the home currency. Also use the Mid-Rate values computed in part a.) b. Which maturities have the smallest and largest forward premiums? Period ¥/$ Bid Rate ¥/$ Ask Rate spot 85.99 86.03 1 month 85.61 85.66...
Dollar/Euro Forwards. Use the following spot and forward
bid-ask rates for the U.S. dollar/euro
(US$/euro€)
from December
10, 2010, to answer the following questions:
a. What is the mid-rate for each maturity?
b. What is the annual forward premium for all maturities?
c. Which maturities have the smallest and largest forward
premiums?
Period
Bid Rate
Ask Rate
spot
1.32311.3231
1.32321.3232
1 month
1.32301.3230
1.32311.3231
2 months
1.32281.3228
1.32291.3229
3 months
1.32241.3224
1.32271.3227
6 months
1.32151.3215
1.32181.3218
12 months
1.31941.3194
1.31981.3198...
Given that the spot rate is 1.5 euros per pound and the forward euro-pound exchange rate is 1.575 euros per pound calculate the forward premium discDunt on the British pound and indicate which of the two it is. Consider a Dutch investor with 1 000 euros to pace in a bank deposit in either the Netherlands or Great Britain. The one-year interest rate on bank deposits is 2% in Britain and 4.04% in the Netherlands. The one year forward euro-pound...
Questions 1-6 Given the following quotes for the euro, direct in Frankfurt, Germany, for the Canadian dollar, answer the following. (When calculating indirect quotes, round to 4 decimal places). Spot 90 day forward 180 day forward Bid 6558 .6553 .6546 Ask .6562 .6560 6553 2. (4 points) On a points basis, the 1 year direct forward rates are 37/29. Given this information what are the 1 year direct outright bid and ask quotes? 3. (2 points) The Canadian dollar is...
Questions 1-6 Given the following quotes for the euro, direct in Frankfurt, Germany, for the Canadian dollar, answer the following. (When calculating indirect quotes, round to 4 decimal places). Spot 90 day forward 180 day forward Bid 6558 .6553 .6546 Ask .6562 .6560 6553 2. (4 points) On a points basis, the 1 year direct forward rates are 37/29. Given this information what are the 1 year direct outright bid and ask quotes? 3. (2 points) The Canadian dollar is...
Spot Question 2 Given below are spot and forward rates expressed in US dollars per unit of the Euro and £ Rates 1.5393 1.6030 30 days forward 1.5406 1.6006 60 days forward 1.5425 1.6000 90 days 1.5431 1.5945 180 days 1.5478 1.5859 Required: i. Is the 90-day forward € quoted at a discount or at a premium? ii. Is the 90-day forward contract in pound trading at a discount or at premium? iii. Relative to the pound is the 180...
Questions 1-6. Given the following quotes for the euro, direct in Frankfurt, Germany, for the Canadian dollar, answer the following. (When calculating indirect quotes, round to 4 decimal places). Spot 90 day forward 180 day forward 6546 Bid 6558 .6553 Ask 6562 6560 6553 -12 4. (5 points) On a direct annual basis, the percentage premium or discount on the CS vs, the euro for the 90 day ask quote is about: 5. (5 points) On an indirect annual basis,...
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