Chapter6: Investing And Financing Activities
Section: Chapter Questions
Problem 3.5C
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Question
Based on the following table.
|
Bid |
Ask |
EURUSD 1M FWD |
7.05 |
7.34 |
EURUSD 2M FWD |
14.99 |
15.15 |
EURUSD 3M FWD |
22.57 |
23.05 |
EURUSD 4M FWD |
30.25 |
30.55 |
EURUSD 5M FWD |
38.03 |
38.43 |
EURUSD 6M FWD |
45.91 |
47.2 |
EUR/USD Spot |
1.1618 |
1.1624 |
What is the average annualized forward premium/discount for the EUR if you use the 6M forward contract (Format for answer: X.XX% or –X.XX%)
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