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Assume zero rates and no other costs or benefits, gold spot is $1900, and a broker is quoting you a 1-year forward price on gold
"Assume zero rates and no other costs or benefits, gold spot is $1900, and a broker is quoting you a 1-year forward price on gold at $2000. You can lock in an arbitrage profit by ("long" or ""short'') the forward at K=2000 and (""buy" or "sell'') the gold on the spot market with bank dollars (use integer) at 1-year expiry per each unit financing (either borrow from bank or save money to bank) today. This will lock in a profit of ("share'') of gold you trade
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