If you have to pay 2,000,000 pesos in 6 months, and if the f…
If you have to pay 2,000,000 pesos in 6 months, and if the futures contract size on the peso is 500,000 pesos per contract, and the price on the future is 0.043 $/peso, enter as a positive or negative the futures position (the number of contracts) you need to take in order to fully hedge your position?
Read DetailsOne year interest rates are at 5.2% in the US and at 1.50% i…
One year interest rates are at 5.2% in the US and at 1.50% in Switzerland. Assuming real rates equalize, if inflation in the US is running at 3.35%, what inflation rate would you estimate in Switzerland? Give your answer in percentage terms with two decimal places (do not put in the % symbol).
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