please answer as soon as possible As a foreign exchange trader at Citi bank,...
80.2K
Verified Solution
Link Copied!
Question
Finance
please answer as soon as possible
As a foreign exchange trader at Citi bank, you have just called a trader at BNP Paribas to get quotes for the euro for the spot, 30-day, 60-day, 90-day and 180-day forward rates. Your BNP Paribas counterpart stated, "We trade euro at 0.7556-60/$, 20/24, 40/44, 56/64 and 70/78." What cash flows would you pay or receive if you do a foreign exchange swap in which you swap into 1,000,000 at the 30-day rate and out of 1,000,000 at the 90-day rate, and which interest rate between dollar and euro is higher? Select one: O a $1,318,565; $1,313,715; dollar b. $1,319,958; $1,311,647; euro O c. $758,400; $761,200; dollar O d. $758,400; $761,200; euro
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
