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1.) A speculative investor predicts the stock price will not move much from the current price of $50 in the next 2 months. Which action
1.) A speculative investor predicts the stock price will not move much from the current price of $50 in the next 2 months. Which action is the right strategy for him to implement today?
Group of answer choices
A.) Buy $45 call, Short $55 call
B.) Short $45 put, Buy $55 put
C.) Buy $45 call, Buy $55 put
D.) Buy one $45 call, Short two $50 calls, Buy one $55 call
1-A .) In a normal economy, yield curve is usually _____________.
Group of answer choices
A.) flat
B.) upward sloped
C.) downward sloped
D.) hump shaped
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