The futures price on the S&P 500 index is 2812 at the time of purchase. If the index price is 2819 when the position is closed out, the gain is?

Question

A) $7,000

B) $1,750

C) $700

D) $3,120

E) $3,190

Answer 1

The Future moves at $250 per point. a 7 point profit on 1 future is 7*250 = 1750 before brokerage. I Ran a hedge fund Specializing In S+P Futures and Options