Question
A trader is long 7 futures contracts to buy gold for $1,128 per ounce. Each contract is for 100 ounces of gold. The initial margin
A trader is long 7 futures contracts to buy gold for $1,128 per ounce. Each contract is for 100 ounces of gold. The initial margin requirement is $394,800 and the maintenance margin requirement is $296,100.
What futures price would trigger a margin call?
Given the situation described in the intro, what futures price would lead to $6,000 being withdrawn from the margin account?
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Affordable Housing Finance
Authors: K. Hawtrey
2009th Edition
0230555187, 978-0230555181
