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(ii) (iii) Discuss what the term open interest means. Appraise the use of open interest by traders in the futures markets. (3 marks) (6

(ii) (iii) Discuss what the term "open interest" means. Appraise the use of open interest by traders in the futures markets. (3 marks) (6 marks) Explain how the open interest for a futures contract can remain the same even though there are transactions for the contract. (6 marks)

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i Open interest refers to the total number of outstanding or open futures contracts in a particular market at any given point in time It represents the total number of contracts that have been entered ... blur-text-image

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