Calculate foreign exchange forward discount/premium (Carbaugh CH11)

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This video shows you how to calculate foreign currency forward premium/discount, and how different interest rates can cause the forward to be sold at the discount or premium.
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Thank you so much for clear explanation! I couldn't understand this formula until this video.

narmeenjoseph
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Thank you very much for this video!!
Does this mean the $ is appreciating in the short run and depreciating in the mid-term?

sophiepim
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Thank you. simple, to the point. Perfect

justlouiswood