Question
Consider a 125,000 euro futures contract in which the current future price is $1.078 per euro. The current initial margin requirement is $2,365 per contract,
Consider a 125,000 euro futures contract in which the current future price is $1.078 per euro. The current initial margin requirement is $2,365 per contract, and the maintenance margin requirement is $2,150 per contract. You go long 10 contracts and meet all margin calls but do not withdraw any excess margin. Assume that on the first day, the contract is established at the settlement price, so there is no mark-to-market gain or loss on that day. Copy and paste the table below into your answer editor and then complete the table. Alternatively, write A=... B=....
Day | Required Deposit | Beg. Balance | Settle Price | Daily Change | Gain/ Loss | Ending Balance |
0 (Purchase) | $23,650 |
| $1.178 | - | - | $23,650 |
1 | A | B | $1.177 | C | D | E |
2 | F | G | $1.174 | H | I | J |
3 | K | L | $1.177 | M | N | O |
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