If a currency's forward rate is higher than its spot rate, the currency is trading at a ________.

Name: If a currency's forward rate is higher than its spot rate, the currency is trading at a ________.
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If a currency's forward rate is higher than its spot rate, the currency is said to be trading at a premium. This means that the market expects the currency to appreciate in value in the future, which is reflected in the higher forward rate.

If a Currency's Forward Rate Is Higher Than Its Spot