In the futures markets,arbitrageurs are mainly interested in:
A) reducing their exposure to risk of price changes.
B) attempting to make a profit by taking advantage of price differentials between different markets.
C) increasing market liquidity.
D) reducing the spread between the bid and ask prices on bonds.

Question

Quizplus · Accepted Answer

Arbitrageurs in futures markets try to make a profit by taking advantage of price differentials between different markets. This involves buying an asset in one market and selling it in another market where the price is higher or vice-versa, thereby making a profit from the price difference. This activity reduces price differentials between markets and helps in making the markets more efficient.

In the Futures Markets,arbitrageurs Are Mainly Interested In