Do you think some investors may take advantage of the interest rate reduction, despite economic uncertainties?

Personal Finance
13th Edition
ISBN:9781337669214
Author:GARMAN
Publisher:GARMAN
Chapter14: Investing In Stocks And Bonds
Section: Chapter Questions
Problem 8LTAI
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Do you think some investors may take advantage of the interest rate reduction, despite economic uncertainties?

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Investors deals in various investment options like derivatives instruments that require margin money to invest. Investors can put money into options and can have benefit from it. Although if the economic uncertainties prevail, investors can imply some safe option strategies i.e. buying call options as well as put options at the same time such that nominal profit is generated.

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