Question: Peter Simpson thinks that the U.K. pound will cost $1.43/in six months. A 6-month currency futures contract is available today at a rate of $1.44/.

Peter Simpson thinks that the U.K. pound will cost $1.43/in six months. A 6-month currency futures contract is available today at a rate of $1.44/. If Peter was to speculate in the currency futures market, and his expectations are correct, which of the following strategies would earn him a profit? A) Sell a pound currency futures contract. B) Buy a pound currency futures contract. C) Sell pounds today. D) Sell pounds in six months

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