The Value of an Interest-Rate Futures Contract Will Go Up

question 17

Multiple Choice

The value of an interest-rate futures contract will go up when

• A) interest rates go up.
• B) interest rates go down.
• C) gold prices rise.
• D) gold prices fall.

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Definitions:

Phospholipase

An enzyme that hydrolyzes phospholipids into fatty acids and other lipophilic substances, playing key roles in cellular membranes' metabolism and signaling.

First Messenger

A signaling molecule that binds to a receptor at the surface of a cell, initiating a series of intracellular events that lead to a biological response.

Acetylcholine

A neurotransmitter in both the peripheral and central nervous system that is involved in muscle activation, heart rate, and memory function.

Cyclic AMP

Cyclic AMP (cAMP) is a second messenger important in many biological processes, serving as a signaling molecule that transduces extracellular signals into cellular responses.