If a bond investor sells a three-year Commonwealth Treasury bond futures contract at 7 per cent and on delivery date the interest rate of Treasury bonds is higher than they expected at 6 per cent,they will have:
A) gained money on their long position.
B) lost money on their long position.
C) lost money on their short position.
D) gained money on their short position.

Question

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The Answer of If a bond investor sells a three-year Commonwealth Treasury bond futures contract at 7 per cent and on delivery date the interest rate of Treasury bonds is higher than they expected at 6 per cent,they will have:
A) gained money on their long position.
B) lost money on their long position.
C) lost money on their short position.
D) gained money on their short position.

If a Bond Investor Sells a Three-Year Commonwealth Treasury Bond