An investor enters into a short futures position in 5 contracts in gold at a futures...
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An investor enters into a short futures position in 5 contracts in gold at a futures price of $1,775 per oz. The size of one futures contract is 100 oz. The initial margin per contract is $9,500, and the maintenance margin per contract is $6,900. Assume the following evolution of gold prices over the next five days, and compute the margin account assuming that you meet all margin calls. What is the total loss or profit if the investor closes out the position on 3/28/2016? Date Price 3/24/2016 $1,775 3/25/2016 $1,790 3/26/2016 $1,800 3/27/2016 $1,820 3/28/2016 $1,800 An investor enters into a short futures position in 5 contracts in gold at a futures price of $1,775 per oz. The size of one futures contract is 100 oz. The initial margin per contract is $9,500, and the maintenance margin per contract is $6,900. Assume the following evolution of gold prices over the next five days, and compute the margin account assuming that you meet all margin calls. What is the total loss or profit if the investor closes out the position on 3/28/2016? Date Price 3/24/2016 $1,775 3/25/2016 $1,790 3/26/2016 $1,800 3/27/2016 $1,820 3/28/2016 $1,800
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