You entered into 5 long CME euro futures contracts on €125,000 EACH at today’s ask price of $1.1400/€. Your total initial performance bond was $40,000 and your total maintenance margin is $30,000 (meaning that your broker leaves you alone until you have lost $10,000). At what settle price do you get a margin call?

Answer rating: 100% (QA)

To determine the settle price at which you would receive a margin call we need to consider the initi... View the full answer