YEAR GERMAN GOVERNMENT BONDS. WHICH POSITION IN THE FUTURES SHOULD...
10-year German government bonds. Which position in the futures should the corporation take, and why?
a.
Take a long position in the futures because rising interest rates lead to rising futures prices.
b.
Take a short position in the futures because rising interest rates lead to rising futures prices.
c.
Take a short position in the futures because rising interest rates lead to declining futures prices.
d.
Take a long position in the futures because rising interest rates lead to declining futures prices.