Question
You are given the following quote for Eurodollar futures prices on Wednesday, 3/23/22: Month Open High Low Last Change Settle Estimated Volume Prior Day Open
You are given the following quote for Eurodollar futures prices on Wednesday, 3/23/22:
| Month | Open | High | Low | Last | Change | Settle | Estimated Volume | Prior Day Open Interest |
| APR 22 | 98.9100 | 98.9350 | 98.8750 | 98.9075 | +.0175 | 98.9125 | 27,626 | 240,825 |
| MAY 22 | 98.6550 | 98.6950 | 98.6300 | 98.6600 | +.0150 | 98.6750 | 12,808 | 88,620 |
| JUN 22 | 98.4600 | 98.4600 | 98.4000 | 98.4350 | +.0100 | 98.4450 | 238,467 | 1,064,087 |
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If on May 1, 2022, the 3-month LIBOR turns out to be 1.45% p.a., Eurodollar futures price 98.65, what would be the total cost to an investor taking into account gains/losses on his hedge, plus the interest payment (disregard time value of money)?
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Fundamentals of Investing
Authors: Scott B. Smart, Lawrence J. Gitman, Michael D. Joehnk
12th edition
978-0133075403, 133075354, 9780133423938, 133075400, 013342393X, 978-0133075359
