Multiple Choice
You have a USD loan that is priced at 3-month LIBOR+50. LIBOR for the loan will be re- fixed in exactly one month. The market is quoting:
A) Sell a 1x3 FRA at 1.95%
B) Buy a 1x3 FRA at 1.98%
C) Buy a 1x4 FRA at 2.10%
D) Sell a 1x4 FRA at 2.10%
Correct Answer:
Verified
Correct Answer:
Verified
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