Task: Can you please provide me with brief response to my questions noted below:
Stock Index Futures
- How are stock index futures used?
- How are stock index futures priced?
- What is basis convergence?
- How do you hedge with stock index futures?
Fundamentals of Interest Rate Futures
- What are T-bills and Eurodollars, and what are their futures?
- How do you hedge or speculate with T-bill and T-bonds futures?
- What is the delivery process?
- How do you price interest rate futures?