Interest parity - One currency is in interest parity with another when the difference in the interest rates is equalized by the forward exchange margins.
Interest Parity - Theory that says that the difference in interest rates across countries should be equal to the difference between the forward and spot rate.
Due to the interest parity condition, a significant fraction of daily exchange rate changes might be explained by changes of the interest differential.
Covered Interest Rate Parity - UIP?
Difference covered interest parity and uncovered interest parity?
Interest rate parity and forecasting?
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Cost of Carry - The cost of borrowing money in order to maintain a position. It is based on the interest parity which determines the forward price.
 See also: Exchange rate, Interest, Rate, Market, Exchange
  
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