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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?


To: mishedlo who wrote (260)2/19/2004 4:48:55 PM
From: yard_man  Read Replies (1) | Respond to of 116555
 
but your downside riskl could be huge if there is a temporary "blow-up" in rates, even if the puts don't go in the money?? what happens if the unthinkable happens and Eurodollars go from 98 to 96 or even 95 in short order while you are short those 94.50 puts -- are they marked to market in your account and could you be forced to put up margin, even though they are OTM??