Exam 7: The Foreign Exchange Market

Suppose it is 1995 and the following direct quotes are received for spot and one-month French francs in New York: .1160-684-6.Then the outright 30- day forward quote for the French franc was:

international currency transactions are conducted by

Suppose the direct quote for sterling in New York is $1.3110-5.Then the direct quote for dollars in London is:

Suppose one observed the following direct spot quotations in New York and London,respectively: $1.2500-60 and £.8000-50.Arbitrage profits per $1 million equal

Exports of goods and services by the United States by 2008 total more than _________ of gross domestic product.

The spot and 180-day forward rates for the euro are $1.3310 and $1.3402,respectively.The euro is said to be selling at a forward

overwhelming majority of foreign exchange transactions involve

An American company that imports leather goods from England is most likely to be

world's largest currency trading market is

Suppose the following direct quotes are received for spot and one-month French francs in New York: .1260-684-6.Then the outright 30-day forward quote for the French is:

Suppose the pound sterling is selling for $1.62 and the buying rate for the Swiss franc is $0.71.Then the £/SFr cross rate is

On December 3,2001,spot Japanese yen were sold at $0.008058.Suppose the 180-day forward Japanese yen was selling at a 1.91% annualized premium,what is the 180-day forward rate of the yen?

It is 1985 and suppose the 90-day forward quotes on the DM and the French franc are $.4002-10 and $.1180-90,respectively.What is the direct 90-day forward quote for the franc in Frankfurt?

When the home currency price of a certain fixed quantity of the foreign currency is quoted,it is referred to as the

Suppose the quote for euro is $.9865-92/€.The percent spread is