Assume that you take a speculative long position in 11 gold


Suppose that you think May gold futures prices will rise over the course of today. Assume that the initial margin is $7,975 per contract, and the maintenance margin is $7,250 per contract. Contract size is 100 oz. Assume that you take a speculative long position in 11 gold futures contracts, consistent with your forecast of gold futures prices. You open your position at $1264 per ounce. Later in the day you offset your position at $1238 per ounce. What is your total profit or loss (not counting transactions costs or taxes) rounded to the nearest dollar?

Please show all work.

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Assume that you take a speculative long position in 11 gold
Reference No:- TGS02315984

Expected delivery within 24 Hours