Qu 1. Say I ask for EURUSD 1 week and get prices: 1.120986 / 1.120216
Does that mean to price USDEUR 1 week I can divide 1 / 1.120216 and 1 / 1.120986 and get rates: 0.8921 / 0.8927
Or is that result wrongly pitched according to the facts there's a bid/offer spread in the EUR interest rate to USD interest rate differential, and that the inverse of the EURUSD interest rate differential is not the same as the USDEUR interest rate differential? i.e. to get the inverse of the forward price the deposit and loan rates need to be swapped. The deposit and loan rates being the rates the FX forward rates correlate with to prevent arbitrage between FX markets and money markets.
Qu 2. If EUR 1 week LIBOR is -0.16286% and USD 1 week LIBOR is 0.15375% then what's the interest rate differential between them? (source http://www.global-rates.com/interest-rates/libor/european-euro/euro.aspx)