Multiple Choice
When the futures price is equal to the spot rate of a given currency, and the foreign country exhibits a higher interest rate than the U.S. interest rate, astute investors may attempt to simultaneously ____ the foreign currency, invest it in the foreign country, and ____ futures in the foreign currency.
A) buy; buy
B) sell; buy
C) buy; sell
D) buy; buy.
Correct Answer:
Verified
Correct Answer:
Verified
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