Explain Why a Fund Manager Might Sell December Share Price

question 90

Essay

Explain why a fund manager might sell December Share Price Index (SPI)futures in the month of August?

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Definitions:

Durable Goods

Products or goods that are intended to last and are characterized by their long usage or service life, such as appliances, cars, and furniture.

Credit Availabilities

The ease with which individuals and businesses can obtain loans or credit, influenced by financial market conditions and regulatory policies.

Capacity Utilization

A measure of how much of a firm's or economy's productive capacity is being used, typically expressed as a percentage.

Consumption

Consumption of goods and services within a household.