Suppose the initial margin on heating oil futures
The ICE Heating Oil Futures Contract is cash settled and designed to appeal to both physical and financial traders. In addition, offsetting of margins with other The normal initial margin requirement for commodities or financial futures If the price of heating oil is $2.15 when the contract expires, Eric's profit or loss is ______. Suppose you own a portfolio of British securities valued at $430,000. Suppose an investor instructs a broker to buy one April call option contract on In Table 1.3, the initial margin the time the contract is entered into is known as the initial margin. to use heating oil futures contracts to hedge its exposure. Suppose the initial margin on heating oil futures is $8,900, the maintenance margin is $8,000 per contract, and you establish a long position of 14 contracts today, where each contract represents 47,000 gallons. Question: Suppose The Initial Margin On Heating Oil Futures Is $8,400, The Maintenance Margin Is $7,200 Per Contract, And You Establish A Long Position Of 10 Contracts Today. Each Contract Represents 42,000 Gallons. What Is The Maximum Price Decline (in Dollars Per Gallon) On Each Contract That You Can Sustain Without Getting A Margin Call? $120 $.0286 $.20 $.1714
Initial Margin and Maintenance Margin is set by the exchange. Initial Margin is the amount required to hold each position past the market close. This margin amount can go as low as the Maintenance Margin before the client is required to replenish funds back to Initial Margin Requirements if the positions are held past the market close.
Suppose the initial margin on heating oil futures is $8,400, the maintenance margin is $7,200 per contract, and you establish a long position of 10 contracts today. Each contract represents 42,000 gallons. What is the maximum price decline (in dollars per gallon) on each contract that you can sustain without getting a margin call? Initial Margin and Maintenance Margin is set by the exchange. Initial Margin is the amount required to hold each position past the market close. This margin amount can go as low as the Maintenance Margin before the client is required to replenish funds back to Initial Margin Requirements if the positions are held past the market close. Due to volatility in the market, please see the below margin requirements: Crude, RBOB and Heating Oil margins will remain at 200% exchange minimum margin requirement. Margins for ALL products will be 100% of the initial margin requirement. Notice: The following Margin Requirements are in effect for all Bitcoin Futures contracts Max Position Limit per … Notice: The following Margin Requirements are in effect for all Bitcoin Futures contracts. Max Position Limit per account is 5 contracts. Day Trade Margins 7:00am CT – 4:00pm CT – 100% of Exchange Initial Margin; Overnight Margins 3:30pm CT – 7:00am CT – The customer must have 125% of the Exchange Initial Margin to carry the position overnight. If they do not, they will be required to While this example focused on hedging diesel fuel with ULSD futures, the same methodology applies to hedging gasoil, gasoline, heating oil, jet fuel, etc. While there are many details that need to be considered before hedging with futures, the basic methodology of hedging fuel price risk with futures is pretty simple.
It also lowered Heating Oil Futures NYMEX (HO) <0#HO:> initial margins for speculators by 8.6 percent to $7,155 per contract from $7,830. The margin changes will be effective after the close of
Question: Suppose The Initial Margin On Heating Oil Futures Is $8,400, The Maintenance Margin Is $7,200 Per Contract, And You Establish A Long Position Of 10 Contracts Today. Each Contract Represents 42,000 Gallons. What Is The Maximum Price Decline (in Dollars Per Gallon) On Each Contract That You Can Sustain Without Getting A Margin Call? $120 $.0286 $.20 $.1714 Suppose the initial margin on heating oil futures is $8,700, the maintenance margin is $6,000 per contract, and you establish a long position of 15 contracts today, where each contract represents 45,000 gallons. Tomorrow, the contract settles down $0.09 from the previous day's price. 11. Suppose the initial margin on heating oil future is $8400, the maintenance margin is $7200 per contract and you establish a long position of 10 contracts today, where each contract represents 42,000 gallons. Question: Suppose the initial margin on heating oil futures is $14,300, the maintenance margin is $10,000 per contract, and you establish a long position of 16 contracts today, where each contract Suppose the initial margin on heating oil futures is $8,400, the maintenance margin is $7,200 per contract, and you establish a long position of 10 contracts today. Each contract represents 42,000 gallons. What is the maximum price decline (in dollars per gallon) on each contract that you can sustain without getting a margin call?
Suppose the initial margin on heating oil futures is $8,400, the maintenance margin is $7,200 per contract, and you establish a long position of 10 contracts today. Each contract represents 42,000 gallons. What is the maximum price decline (in dollars per gallon) on each contract that you can sustain without getting a margin call?
Suppose the initial margin on heating oil futures is $8,700, the maintenance margin is $6,000 per contract, and you establish a long position of 15 contracts today, where each contract represents 45,000 gallons. Tomorrow, the contract settles down $0.09 from the previous day's price. 11. Suppose the initial margin on heating oil future is $8400, the maintenance margin is $7200 per contract and you establish a long position of 10 contracts today, where each contract represents 42,000 gallons. Question: Suppose the initial margin on heating oil futures is $14,300, the maintenance margin is $10,000 per contract, and you establish a long position of 16 contracts today, where each contract Suppose the initial margin on heating oil futures is $8,400, the maintenance margin is $7,200 per contract, and you establish a long position of 10 contracts today. Each contract represents 42,000 gallons. What is the maximum price decline (in dollars per gallon) on each contract that you can sustain without getting a margin call?
Margin Call (LO2, CFA3) Suppose the initial margin on heating oil futures is $8,400, the maintenance margin is $7,200 per contract, and you establish a long position of 10 contracts today, where each contract represents 42,000 gallons. Tomorrow, the contract settles down $.05 from the previous day’s price.
Suppose the initial margin on heating oil futures is $8,900, the maintenance margin is $8,000 per contract, and you establish a long position of 14 contracts today, where each contract represents 47,000 gallons. Question: Suppose The Initial Margin On Heating Oil Futures Is $8,400, The Maintenance Margin Is $7,200 Per Contract, And You Establish A Long Position Of 10 Contracts Today. Each Contract Represents 42,000 Gallons. What Is The Maximum Price Decline (in Dollars Per Gallon) On Each Contract That You Can Sustain Without Getting A Margin Call? $120 $.0286 $.20 $.1714 Suppose the initial margin on heating oil futures is $8,700, the maintenance margin is $6,000 per contract, and you establish a long position of 15 contracts today, where each contract represents 45,000 gallons. Tomorrow, the contract settles down $0.09 from the previous day's price.
Initial Margin and Maintenance Margin is set by the exchange. Initial Margin is the amount required to hold each position past the market close. This margin amount can go as low as the Maintenance Margin before the client is required to replenish funds back to Initial Margin Requirements if the positions are held past the market close. Due to volatility in the market, please see the below margin requirements: Crude, RBOB and Heating Oil margins will remain at 200% exchange minimum margin requirement. Margins for ALL products will be 100% of the initial margin requirement. Notice: The following Margin Requirements are in effect for all Bitcoin Futures contracts Max Position Limit per … Notice: The following Margin Requirements are in effect for all Bitcoin Futures contracts. Max Position Limit per account is 5 contracts. Day Trade Margins 7:00am CT – 4:00pm CT – 100% of Exchange Initial Margin; Overnight Margins 3:30pm CT – 7:00am CT – The customer must have 125% of the Exchange Initial Margin to carry the position overnight. If they do not, they will be required to While this example focused on hedging diesel fuel with ULSD futures, the same methodology applies to hedging gasoil, gasoline, heating oil, jet fuel, etc. While there are many details that need to be considered before hedging with futures, the basic methodology of hedging fuel price risk with futures is pretty simple. 70. Southern Fuel has an inventory of 756,000 gallons of heating oil. The futures contracts on heating oil are based on 42,000 gallons. If the firm wishes to fully hedge its inventory, it should take which one of the following positions in heating oil futures contracts? A. long on 16 B. long on 17 C. short on 18 D. short on 19 E. short on 20