Exhibit 21.6
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Assume that you observe the following prices in the T-Bill and Eurodollar futures markets
-Refer to Exhibit 21.6.Assume that a month later the price of the September T-Bill future is 93 and the price of the Eurodollar future is 90.25.Calculate the profit on the Eurodollar futures position.
A) 190 basis points.
B) 210 basis points.
C) -190 basis points.
D) -210 basis points.
E) 100 basis points.
Correct Answer:
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