Interest differentials and forward discount or premium

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Reference no: EM13749214

1. What is the relationship between interest differentials and forward discount or premium?

2. Is the forward rate an unbiased predictor of the future spot exchange rate?

3. What is the real effective exchange rate index?

4. What is a defaulting on an interest rate swap?

5. How can a currency swap reduce the counterparty risk?

6. Is the foreign exchange market efficient?

Reference no: EM13749214

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