If bank X is quoting “A $1.5838/ bid and A $1.1682/€ ask” and bank Y is quoting “A $1.1684/€ bid and A $1.1690/€ ask”. If you buy € 2million from X at it’s A $1.1682/€ ask price and simultaneously...


If bank X is quoting “A $1.5838/ bid and A $1.1682/€ ask” and bank Y is quoting “A

$1.1684/€ bid and A $1.1690/€ ask”. If you buy € 2million from X at it’s A $1.1682/€

ask price and simultaneously sell € 2million to Y at it’s A $ 1.1684/€ bid price. Calculate

arbitrage profit.


Jun 07, 2022
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