A German sells €1 million and deposits dollars in a United States bank for one month....

A German sells €1 million and deposits dollars in a United States bank for one month. She believes that the euro will depreciate and will use the dollars from her United States bank account to purchase euro in the spot market in one month. She is:

		Hedging.
		Speculating.
		Locking in an arbitrage profit.

Expert Solution

jeff jeffy answered 1 year ago

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