According to covered interest rate parity

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Reference no: EM131766959

Suppose the following data:

12 month interest rate in Euro Area = 3.6%

12 month interest rate in US = 1.5%

spot exchange rate: $ 1.35 =  €1

According to covered interest rate parity, what should the 12-month forward rate be?

Reference no: EM131766959

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