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On Monday, you sold one Eurodollar interest rate futures for $96,500. Initial performance bond is $5,000 and the maintenance performance bond is $3,500 Day Settled

On Monday, you sold one Eurodollar interest rate futures for $96,500. Initial performance bond is $5,000 and the maintenance performance bond is $3,500

Day

Settled price

Daily gain/loss

Margin balance

Monday

Tuesday

Wednesday

96,500

97,500

98,500

$ ( )

$ ( )

$5,000

$ ( )

$ ( )

Given the current position (short position) on the interest rate futures contract, do you gain or lose when interest rates rise?

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