Question: Estel Crabtree believes that the spread between long-term interest rates and short-term interest rates will narrow in the next few months but does not know
Estel Crabtree believes that the spread between long-term interest rates and short-term interest rates will narrow in the next few months but does not know in which direction interest rates will move. What financial futures position would permit Estel to profit from this forecast if it is correct?
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If Estel expects the spread in interest rates to narrow this implies an expectation of rising l... View full answer
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