The price of a September crude oil futures contract is $20 per barrel,while that of a September gasoline futures contract is $25 per barrel.You expect that in a month,the price difference will reduce to $3 per barrel.A profit generating trading strategy is to:
A) long September crude oil futures and short September gasoline futures
B) short September crude oil futures and long September gasoline futures
C) long September crude oil futures and long September gasoline futures
D) short September crude oil futures and short September gasoline futures
E) None of these answers are correct.
Correct Answer:
Verified
Q1: Marking-to-market refers to:
A) adjusting a futures trading
Q2: Which of the following is NOT a
Q4: Which of the following statements is true
Q5: The following contract is more likely to
Q6: A forward price can differ from a
Q7: Suppose that a futures trader has an
Q8: Suppose that the July gold futures prices
Q9: Futures contracts were traditionally traded:
A) in pits
Q10: Suppose that the July gold futures has
Q11: The price of a September crude oil
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