Mark to market a long eurodollar futures position with june


Mark to market a long Eurodollar futures position with June delivery at 94.75 if daily IMM Index settlement prices are

Day 1: 94.55

Day 2: 94.25

Day 3: 94.65

Day 4: 95.15

List the margin account balances at the end of each trading day and clearly specify (i) whether an additional margin is required on any given day and, (ii) if a margin call is issued, how much must be deposited to your margin account. Assume that the initial margin is $3,000; the maintenance margin is $2,000, and the tick value is 1 b.p. = $25. What is the total gain or loss after Day 4?

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Finance Basics: Mark to market a long eurodollar futures position with june
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