Speculators who are short
A) expect prices to rise
B) are not seeking capital gains
C) are hedging their long positions
D) anticipate lower prices
Correct Answer:
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Q31: A swap agreement converts a futures contract
Q32: Speculators take the opposite positions of hedgers.
Q33: Hedging with commodity futures
A)reduces the risk of
Q34: Currency futures refer to contracts to buy
Q35: Futures contracts offer the advantage of
A)potential leverage
B)liquidity
C)safety
D)tax
Q37: The maximum daily price increase that is
Q38: Investing in futures is
A)investing in physical goods
B)entering
Q39: If a speculator is short and the
Q40: Hedging by using commodity futures locks in
Q41: One use for futures markets is "price
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