Exchange Rate Calculations

According to the provided text, what is the standard value of 1 PIP in decimal form?

If the spot rate is 66.1215 and the rate increases by 3 PIPs, what is the new rate?

Which formula correctly represents the Interest Rate Parity relationship for calculating the Forward Rate (F) given Spot Rate (S)?

Calculate the forward rate if the Spot rate is 50, the interest rate of the price currency is 10%, and the interest rate of the base currency is 2%.

According to the Fisher relationship described, nominal interest rate is equal to:

If the forward rate is 57 and the spot rate is 55, what is the forward premium or discount percentage?

In the example provided where Spot = 55 and Forward = 57, the formula used to calculate the premium is:

If the calculated no-arbitrage forward price is 64.7 and the market spot rate is 60 with a market forward rate of 58, which direction is the arbitrage opportunity?

Given a Spot rate of 50 and interest rates of 20% (Price Currency) and 10% (Base Currency), what is the Forward rate?

If 1 PIP = 1/10,000, how many PIPs is 0.0012?

In the text's cross currency rate example, what operation is implied between '1.03', '0.002', and '6500' to find the cross rate?

What is the relationship between Real Interest Rate, Inflation, and Nominal Interest Rate shown in the text?

If the Spot rate is 60 and the calculated no-arbitrage forward price is 64.7, what does a market forward price of 60 imply?

Given: Spot = 1.0000. Price Currency Interest = 5%. Base Currency Interest = 5%. What is the Forward Rate?

Identify the base currency in the quote 'Rupee 50/$'.

If a currency pair is quoted as 1.2500 and moves to 1.2505, how many PIPS has it moved?

Using the IRP formula, if the Price Currency interest rate increases while the Base Currency rate and Spot remain constant, the Forward Rate will:

If Spot = 100, Forward = 105, what is the forward premium?

If a country has a higher interest rate than another, its currency will typically trade at a forward:

Calculate the Spot Rate if the Forward Rate is 53.92, Price Currency Interest is 10%, and Base Currency Interest is 2%.

What term is used in the text to describe 'investment firms that use derivatives/leverages' in the FX market?

Which entity is categorized as 'Sell Side' in the FX Market Participants chart?

In the text, 'Real exchange rate' measures changes in:

Calculate the percentage appreciation of the Dollar if the rate changes from $1 = ZAR 52 to $1 = ZAR 57.

If the rate changes from ZAR 52 to ZAR 57 per Dollar, what is the percentage depreciation of the ZAR?

What is the settlement cycle for forex in the spot market mentioned in the text?

If a quote is given as '6500 Dong/$', which currency is the Price currency?

Calculate 66.1215 + 10 PIPS.

If Forward Rate = 54.54 and Spot Rate = 50, what is the exact premium percentage?

Which of the following describes 'Explicit commitment to exchange domestic currency for a foreign currency at a fixed exchange rate'?

In a 'Conventional fixed peg', how large is the margin around the fixed rate usually?

What defines a 'Monetary union' in the context of exchange rate regimes?

Given Spot = 50, Forward = 55. What is the value of 'Forward price - Spot price'?

If a forward rate is 55 and spot is 57, the currency is trading at a:

What is the formula for Real Exchange Rate provided in the text?

If nominal rate is 1.5, foreign CPI is 110, and domestic CPI is 100, what is the real exchange rate?

Calculate the Forward Rate: Spot = 40, Interest Price = 5%, Interest Base = 5%.

What type of account is typically associated with 'Governments' in the FX market participants?

If a currency pair moves from 1.1000 to 1.1100, what is the movement in PIPS?

Which exchange rate regime involves the monetary authority influencing the rate in response to specific indicators like BOP?

In a 'Crawling peg', the exchange rate is adjusted:

Calculate the discount percentage: Spot = 55, Forward = 57. Wait, if F > S, it is a premium. Calculate the premium.

If Nominal Interest Rate = 20% and Inflation = 15.38%, what is the approximate Real Interest Rate using the formula (1+N)/(1+I) - 1?

If a country uses the currency of another country as its own, this regime is called:

Calculate the cross rate A/C if A/B = 2.0 and B/C = 3.0.

Spot = 1.02 mln USD (Value). Wait, using the text example numbers: Spot = 50 INR/USD. Interest INR = 10%. Interest USD = 2%. Value in INR after 1 year?

If the forward rate is 55/57 - 1 = 5.45%, what were the Spot and Forward rates used in this text example?

In a 'Peg with horizontal bands', the currency can fluctuate relative to another currency by:

Which side of the FX market contains 'Sovereign Wealth Funds'?

Calculate the Forward Rate (F) if Spot (S) = 1.2000, Price Interest = 3%, Base Interest = 2%.