Forex Spot and Forward Illustration 5


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The following quotes are available:

Spot EUR USD             0.8385/0.8391

3 months forward          20/30

Spot GBP USD             1.4548/1.4554

3 months forward          35/25

Find the 3 month GBP EUR outright forward rates.                         (Mumbai University, April 2003)

(Ans.: 3 months GBP EUR outright forward rates are 1.7234/1.7286)


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