In the futures markets,the seller of a futures contract:
A) takes the long position.
B) takes the short position.
C) has the obligation to receive the underlying financial assets at the specified future date.
D) is expecting the price of the underlying asset to increase.

Question

Quizplus · Accepted Answer

The seller of a futures contract takes the short position, as they are selling the asset in question in hopes that the price will decline. They are obligated to sell the underlying asset at the specified future date.

In the Futures Markets,the Seller of a Futures Contract