Suppose the U.S. yield curve is flat at 5% and the euro yield curve is flat at 3%. The current exchange rate is $1.25 per euro. What will be the swap rate on an agreement to exchange currency over a...


Suppose the U.S. yield curve is flat at 5% and the euro yield curve is flat at 3%. The current exchange rate is $1.25 per euro. What will be the swap rate on an agreement to exchange currency over a 3-year period? The swap will call for the exchange of 2.6 million euros for a given number of dollars in each year.
(Do not round intermediate calculations. Enter your answer in millions rounded to 4 decimal places.)





Please can you give me only one number that I have to put into the blank case



Suppose the U.S. yield curve is flat at 5% and the euro yield curve is flat at 3%. The current exchange rate is $1.25 per euro. What will<br>be the swap rate on an agreement to exchange currency over a 3-year period? The swap will call for the exchange of 2.6 million euros<br>for a given number of dollars in each year. (Do not round intermediate calculations. Enter your answer in millions rounded to 4<br>decimal places.)<br>Swap rate<br>million per year<br>

Extracted text: Suppose the U.S. yield curve is flat at 5% and the euro yield curve is flat at 3%. The current exchange rate is $1.25 per euro. What will be the swap rate on an agreement to exchange currency over a 3-year period? The swap will call for the exchange of 2.6 million euros for a given number of dollars in each year. (Do not round intermediate calculations. Enter your answer in millions rounded to 4 decimal places.) Swap rate million per year

Jun 06, 2022
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