Exchange rate between the us dollar and the euro

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Reference no: EM13770233

Assume that the six-month forward exchange rate between the US dollar and the euro today is $1.22 per euro. Assume also that the spot rate is $1.10 per euro. Then we can say that the euro is trading at a

forward premium.

forward discount.

backwards dynamic.

flat.

Reference no: EM13770233

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