Suppose that you are a trader and have the following information, that Commerzbank (Germany)…

Suppose that you are a trader and have the following information, that Commerzbank (Germany) is quoting €0.8738/$1.00 and Zurich Bank (Suiss) is quoting SF1.2907/$1.00. You also find out that UBS is offering direct exchange for two currencies, euro and Swiss franc, and quoting €0.7496/SF. Suppose, also you have $5,000,000 available to trade. Explain, how could you use arbitrage opportunity in this case, if any?

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