From the previous question, suppose rates do indeed fall as expected, and the T-bond contract is priced

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From the previous question, suppose rates do indeed fall as expected, and the T-bond contract is priced at 1035 32 . If Springer closes its futures position, what is the gain or loss? How well does this offset the approximate change in equity value?

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Financial Markets And Institution

ISBN: 9781292459547

10th Global Edition

Authors: Frederic Mishkin, Stanley Eakins

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