Tony Begay at Saguaro Funds. Tony Begay, a currency trader for Chicago-based Saguaro Funds, uses the following futures quotes, , on the British pound (£) to speculate on the value of the pound. a. If Tony buys 5 June pound futures, and the spot rate at maturity is $1.3982/£, what is the value of her position? b. If Tony sells 12 March pound futures, and the spot rate at maturity is $1.4558/£, what is the value of her position? c. If Tony buys 3 March pound futures, and the spot rate at maturity is $1.4558/£, what is the value of her position? d. If Tony sells 12 June pound futures, and the spot rate at maturity is $1.3982/£, what is the value of her position? a. If Tony buys 5 June pound futures, and the spot rate at maturity is $1.3982/£, what is the value of her position? The value of Tony's position is $ (Round to the nearest cent. Use a minus sign if value is negative.)

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Data table
(Click on the icon o to import the table into a spreadsheet.)
British Pound Futures, US$/pound (CME)
Оpen
Contract = 62,500 pounds D
High
Maturity
High
Settle
Change
Open Interest
Low
March
1.4246
1.4268
1.4214
1.4228
0.0032
1.4700
25,605
June
1.4164
1.4188
1.4146
1.4162
0.0030
1.4550
809
Transcribed Image Text:Data table (Click on the icon o to import the table into a spreadsheet.) British Pound Futures, US$/pound (CME) Оpen Contract = 62,500 pounds D High Maturity High Settle Change Open Interest Low March 1.4246 1.4268 1.4214 1.4228 0.0032 1.4700 25,605 June 1.4164 1.4188 1.4146 1.4162 0.0030 1.4550 809
Tony Begay at Saguaro Funds. Tony Begay, a currency trader for Chicago-based Saguaro Funds, uses the following futures quotes, E, on the British pound (£) to speculate
on the value of the pound.
a. If Tony buys 5 June pound futures, and the spot rate at maturity is $1.3982/£, what is the value of her position?
b. If Tony sells 12 March pound futures, and the spot rate at maturity is $1.4558/£, what is the value of her position?
c. If Tony buys 3 March pound futures, and the spot rate at maturity is $1.4558/£, what is the value of her position?
d. If Tony sells 12 June pound futures, and the spot rate at maturity is $1.3982/£, what is the value of her position?
.....
a. If Tony buys 5 June pound futures, and the spot rate at maturity is $1.3982/£, what is the value of her position?
The value of Tony's position is $
(Round to the nearest cent. Use a minus sign if value is negative.)
Transcribed Image Text:Tony Begay at Saguaro Funds. Tony Begay, a currency trader for Chicago-based Saguaro Funds, uses the following futures quotes, E, on the British pound (£) to speculate on the value of the pound. a. If Tony buys 5 June pound futures, and the spot rate at maturity is $1.3982/£, what is the value of her position? b. If Tony sells 12 March pound futures, and the spot rate at maturity is $1.4558/£, what is the value of her position? c. If Tony buys 3 March pound futures, and the spot rate at maturity is $1.4558/£, what is the value of her position? d. If Tony sells 12 June pound futures, and the spot rate at maturity is $1.3982/£, what is the value of her position? ..... a. If Tony buys 5 June pound futures, and the spot rate at maturity is $1.3982/£, what is the value of her position? The value of Tony's position is $ (Round to the nearest cent. Use a minus sign if value is negative.)
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