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Consider a one-year gold futures contract. Suppose that the spot gold price is $1176 per troy ounce, that the continuously compounded rate of storage is

Consider a one-year gold futures contract. Suppose that the spot gold price is $1176 per troy ounce, that the continuously compounded rate of storage is 0.2% per year, and that the continuously compounded risk-free interest rate is 0.1% per year. What is the appropriate gold futures price?


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