Question
A trader takes a short position in a 5 Eurodollar futures contract at the futures price of 98.14. A short time later, the trader closes
A trader takes a short position in a 5 Eurodollar futures contract at the futures price of 98.14. A short time later, the trader closes out the position at a price of 98.27. What is the trader’s total gain or loss on the trade?
A. A loss of $325
B. A gain of $325
C. A loss of $1,625
D. A gain of $1,625
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Money Banking and Financial Markets
Authors: Stephen Cecchetti, Kermit Schoenholtz
4th edition
007802174X, 978-0078021749
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