If Speculators Expect the Spot Rate of the Canadian Dollar

question 66

Multiple Choice

If speculators expect the spot rate of the Canadian dollar in 30 days to be ____ than the 30-day forward rate on Canadian dollars, they will ____ Canadian dollars forward and put ____ pressure on the Canadian dollar forward rate.​

• A) ​lower; sell; upward
• B) ​lower; sell; downward
• C) ​higher; sell; upward
• D) ​higher; sell; downward

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