If at the expiration date, the deliverable Canada bond is selling for 101 but the Canada bond
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If at the expiration date, the deliverable Canada bond is selling for 101 but the Canada bond futures contract is selling for 102, what will happen to the futures price? Explain your answer.
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The futures price must fall to 101 Otherwise arbitrageurs could bu...View the full answer
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Related Book For
The Economics of Money Banking and Financial Markets
ISBN: 978-0321785701
5th Canadian edition
Authors: Frederic S. Mishkin, Apostolos Serletis
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