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Suppose we wish to borrow $10,000,000 for 91 days at LIBOR beginning next December. In this case, we might want to hedge against a potential

Suppose we wish to borrow $10,000,000 for 91 days at LIBOR beginning next December. In this case, we might want to hedge against a potential ______ in interest rates between now and December by taking a _____ position in Eurodollar futures.

decrease ... long

increase ... long

decrease ... short

increase ... short

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