Treasury bond futures contract

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Reference no: EM131105141

Boyd Company sold a futures contract (one) on Treasury bonds that specified a price of 98-19. When the position was closed out, the price of the Treasury bond futures contract was 100-09.

A. Did interest rates increase or decrease? How do you know?

B. What was Boyd's profit or loss from this contract (ignoring transaction costs)?

Reference no: EM131105141

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Treasury bond futures contract : Boyd Company sold a futures contract (one) on Treasury bonds that specified a price of 98-19. When the position was closed out, the price of the Treasury bond futures contract was 100-09.
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