Calculation of Swap Points Illustration 6


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GBP USD 1.6500/1.6580 Spot

Interest Rates in Britain 5.00% and 5.10% p.a.

GBP USD 1.6600/1.6700 for 6 months forward

Calculate interest rates in US of A.

(Ans.: 6.34% and 6.48% p.a.)


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