Assume today’s settlement price on a CME EUR futures contract is $1.3140/EUR. You have a short position in one contract. Your performance bond account currently has a balance of $1,700. The next three days’ settlement prices are $1.3126, $1.3133, and $1.3049.
(1) Calculate your daily losses/ profits from daily marking-to-market.
(2) Calculate balance of the performance bond account after the third day.