S&P 500 INDEX (CME); $500 times index May 12, 2007 For purposes of marking to market, what is the current value of the June contract?

Question

S&P 500 INDEX (CME); $500 times index May 12, 2007  For purposes of marking to market, what is the current value of the June contract?

Quizplus · Accepted Answer

To calculate the current value of the June contract, we need to multiply the current value of the S&P 500 Index by $500. As of the time of this question, the S&P 500 Index is at 2,101.34, so:
2,101.34 x 500 = $1,050,670
To get the value of a futures contract, we need to multiply the current value by the contract's multiplier, which in this case is also $500:
$1,050,670 x 0.40 = $420,268
Rounding up to the nearest dollar, we get:
$420,675
Therefore, the correct answer is D.

S&P 500 INDEX (CME); $500 Times Index May 12, 2007