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7.1 Tony Begay at Saguaro Funds. Tony Begay, a cur- rency trader for Chicago-based Saguaro Funds, uses Finance. the following futures quotes on the British

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7.1 Tony Begay at Saguaro Funds. Tony Begay, a cur- rency trader for Chicago-based Saguaro Funds, uses Finance. the following futures quotes on the British pound () to speculate on the value of the pound. a. If Tony buys 5 June pound futures, and the spot rate at maturity is $1.3980/, what is the value of her position? b. If Tony sells 12 March pound futures, and the spot rate at maturity is $1.4560/, what is the value of her position? c. If Tony buys 3 March pound futures, and the spot rate at maturity is $1.4560/, what is the value of her position? d. If Tony sells 12 June pound futures, and the spot rate at maturity is $1.3980/, what is the value of her position? Problem 7.1: Tony Begay at Saguaro Funds British Pound Futures, USS/pound (CME) Maturity March June Open 1.4246 1.4164 High 1.4268 1.4188 Low 1.4214 1.4146 Settle 1.4228 1.4162 Contract = 62,500 pounds Open Change High Interest 0.0032 1.4700 25,605 0.0030 1.4550 809

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