|
- UID
- 223443
- 帖子
- 283
- 主题
- 10
- 注册时间
- 2011-7-11
- 最后登录
- 2014-8-2
|
2#
发表于 2011-7-13 13:08
| 只看该作者
Going long in Eurodollar futures means that you have locked in to lend at a specific implied rate.
After you go long in to the contract at 5%, and then the interest rate goes up to 6 percent, you (long position) has lost out.
So, long position in Eurodollar futures loses money when interest rate goes up.
This is exactly opposite of FRA's.
Best of luck to you all in your forthcoming exams. |
|
