2016-04-06 U. Dollars to One British Pound:4162 3-Month Effective Interest Rate for U. Dollar:15765 3-Month Effective Interest Rate for British Pound:…

2016-04-06

U.S. Dollars to One British Pound: 1.4162

3-Month Effective Interest Rate for U.S. Dollar: 0.15765

3-Month Effective Interest Rate for British Pound: 0.14703

Based on the Covered Interest Parity (CIP), what should be the 90-day forward rate, F£/US$, today on 6 April 2016 (the contract matures on 5 July 2016)? Use the exact equation of the CIP.???

Leave a Reply