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.)
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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Question
![Data table
(Click on the icon o to import the table into a spreadsheet.)
British Pound Futures, US$/pound (CME)
Оpen
Contract = 62,500 pounds D
High
Maturity
High
Settle
Change
Open Interest
Low
March
1.4246
1.4268
1.4214
1.4228
0.0032
1.4700
25,605
June
1.4164
1.4188
1.4146
1.4162
0.0030
1.4550
809](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F20bf0873-ce5f-49f4-a4c8-d91249e00b48%2F97534f62-4f52-4256-afc4-4264f5646bf8%2Fmkgmt9c_processed.png&w=3840&q=75)
Transcribed Image Text:Data table
(Click on the icon o to import the table into a spreadsheet.)
British Pound Futures, US$/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.)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F20bf0873-ce5f-49f4-a4c8-d91249e00b48%2F97534f62-4f52-4256-afc4-4264f5646bf8%2Fub7bx8e_processed.png&w=3840&q=75)
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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