Series 3: Exercise

Exercise

Answer the following questions.

1. A speculator expects the price of the dollar to weaken against the yen. He should _____ a yen futures contract.

2. A speculator expects the price of the dollar to strengthen against the euro. He should _____ a euro futures contract.

3. A hedger wishes to protect himself against a rise in the price of the British pound. He should _____ a British