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which one and why Question 3. The basis is defined as spot minus futures price. A trader is hedging the purchase of an asset with
which one and why
Question 3. The basis is defined as spot minus futures price. A trader is hedging the purchase of an asset with a long futures position. The basis increases unexpectedly. Which of the following is true? A. The hedger's position improves B. The hedger's position worsens C. The hedger's position sometimes worsens and sometimes Improves. D. The hedger's position stays the sameStep by Step Solution
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