Exploring changes in futures prices - Financial Market Essay

Exploring changes in futures prices - Financial Market - Essay Example This report aims at solving issues and problems related to future price changes and how best they can be used to best suit the needs of the market. Future contracts A future is contract between two parties to buy or sell a financial asset or instrument at a fixed future date and at a predetermined price as argued by Chandra, (2008). Futures are traded in the exchange which acts as an intermediary between the two parties. The terms of future contracts are standardized as they indicate what is to trade, when to trade and where to trade. There are three types of protections built-in to ease credit risk in the futures. One, the daily settlement which is is usually settled in cash basis is a major protection that plays a significant role in easing credit risk. Two, margin which the balance is kept in the accounts to cover several days’ worth of potential market to market transfers. It is necessary for every trader to understand this aspect of margin in reference to credit risk. Fin ally, the clearing house which guarantees transactions by insures daily settlement on market gains and losses. Forward contacts are not investments as a result it costs nothing to enter into the legally binding agreement. There are three ways of settling or closing out a contract. First, enter in an offsetting transaction. Two, make or taking physical delivery of the underlying commodity. Finally, cash settlement is another aspect that should be elaborated to traders entering into any form of future contracts. Over the counter forward contracts are flexible but they have their own disadvantages. They are unregulated as no formal body regulates the players in the market and they are only designated for specific needs. History of future contracts The first standardized future to be listed in the exchange was the Chicago Board of Trade (CBOT) in the year 1848 in the United States. Other major exchanges in U.S include New York Mercantile Exchange (1872), Chicago Mercantile Exchange (187 4) and Kansas City Board of Trade (1882). In Europe futures contracts in the Exchange include London international financial futures Exchange (LIFFE) and Amsterdam, Paris, Belgium exchanges merged with LIFFE to create Euronext LIFFE. This also merged with the Lisbon Stock Exchange. Types of future contracts There are two types of futures, those that provide cash settlement and those that provide physical delivery for commodity. Commodity futures such as coffee require physical delivery on the agreed day. Stock index future contract is an example of a cash settlement contract. They are settled on cash on the basis of index number at the closing day. Treasury bond futures are settled through physical delivery of treasury bonds. Upon maturity, they have to convert into deliverable bond. A holder of short must deliver 100 treasury bonds must mature for at least 15 years. Treasury bill futures. Treasury bills matures after 3 months and that’s when the holder delivers its face valu e Currency futures. Most of the currencies are traded at banks on a cash basis. Usefulness of future contrac

Ozone :: essays papers

Ozone Ozone is an important molecule in maintaining the homeostasis in the environment. Ozone, the molecule O3, makes a layer in the stratosphere, situated 10 to 15 kilometers from the earth's surface. The dioxide molecule, O2 and Oxygen atom O, collide with each other result in the formation of Ozone, O3. In this reaction, the molecule O3 contains an excess of energy. Once the molecule is formed, it is not stable enough to last long. The energy-rich O3 molecules discards the excess energy by colliding with another atom or molecule and transferring the energy in the form of heat. In the results of the decomposition of ozone into O2 and O in the ozone layer, solar radiation is absorbed. This process of the chemical bond breaking causing the absorption of a photon by a molecule is called photodissociation. Radiation with sufficient intensity, is capable of separating the O3 molecule, resulting in photodissociation. The cyclic process formation and decomposition of ozone provides a shield against ultraviolet radiation that enter the earth's atmosphere. If it were not for the chemical reaction of radiation and ozone in the stratosphere, these high-energy photons would penetrate the earth's surface. The ozone layer absorbers about 99% of the harmful radiation which makes it possible for animals and plants to live on the planet. In 1974, F. Sherwood Rowland and Mario Molina of the University of California proposed that chlorine from chlorofluorocarbons (CFCs) could deplete the ozone layer. Beginning in 1957 to 1985, the British Antarctic Survey had measured the average ozone concentration over Halley Bay in Antarctica. Up until 1974, the ozone concentration remained stable. Yet after 1974, the team observed a decline of the ozone layer to levels less than 10%. From this study the awareness over the danger of the "hole" and ultraviolet radiation and the destruction being done to the earth. Scientists believe the expanding ozone hole, which is centered over Antarctica was caused by Chloroflurocarbons. CFCs are released into the environment through such sources as spray cans , air conditioners, factories, refrigerants and cleaning products. CFCs are dangerous to the atmosphere because after they are released into the environment, the sunlight breaks down the compound. The chlorine molecules react with the ozone molecules by permanently breaking down the molecule, thus diminishing the ozone layer. This rise poses a major threat environment. In 1985, in Vienna and in 1987 in Montreal, a Protocol was signed proposing the gradual termination of use of CFCs over the decades. A dramatic reduction in the use of CFCs was agreed on. Regulations to limit the production of

Explore the theme of escapism in Peter Pan Essay

The theme of escapism is prominent in much children’s literature. Frances Hodgson-Burnett’s The Secret Garden is, like Peter Pan, an example of Edwardian children’s literature. Both these novels are tales of escapism from real life into another world. There are also more recent examples of escapism in children’s literature. In the 1950s C. S. Lewis invented Narnia, and in even more recent literature, Harry Potter escapes his everyday life to go to school at Hogwarts. J. M. Barrie’s Peter Pan, an early Edwardian novel, is one of the great classics of British children’s literature and is, on the surface, a tale about a boy who refused to grow up. There is however, an underlying plot concerning a girl who must grow up. It is from this obligation that Barrie’s Neverland acts as a form of escape. Throughout Peter Pan, there is little focus on the female characters. It is almost assumed that Wendy will grow up and become a Mother, as all daughters do. Although Neverland allows Wendy to escape from her home and from the domestic world she knows, she does not escape domesticity altogether. She almost becomes mother to the Lost Boys, and is given a number of domestic duties such as ironing Peter’s shadow. However, Wendy’s relationship with Peter is not entirely conventional. She appears to be the closest thing Peter has to a girlfriend, as he rejects the sexual advances of both Tinkerbell and Tiger Lily. However, Wendy also appears to be acting as his mother, something Peter has been deprived of his whole life. It is the childish energy of Barrie’s imagination filled with such a â€Å"splendid jumble of pirates, redskins, fairies and mermaids† that enthrals so many children (Carpenter p172). Through this manipulation of other people’s minds and emotions, Barrie â€Å"carries them off from the real world †¦ to a country of his own invention† (Carpenter p179). Barrie seems to be presenting his readers with a substitute faith, to act as a form of escape from the Christian teachings of the Victorian era. It has even been suggested that Peter Pan is in fact an alternative religion. Humphrey Carpenter suggests that in many respects Peter is Christ-like. Possibly the most obvious example of this is when he takes Wendy and her brothers on a flight of fantasy to â€Å"his own heavenly land† (Carpenter p182). The Lost Boys who live there seem to represent the souls of the dead as Peter asserts, â€Å"They are the children who fall out of their prams when the nurse is looking the other way†, therefore further increasing Neverland’s resemblance of heaven. The concept of escaping to heaven was extremely important to Barrie. He lost his brother David at a young age and subsequently spent much of his life trying to become a living version of the boy â€Å"who by dying †¦ remained ever young† (Wallshli ger p120). To observe Peter and Hook as the Christ and Satan of Barrie’s religion, the reader must have faith in the novel. The theme of belief is interesting throughout Peter Pan as the reader is, like the Darling children, constantly being asked, â€Å"Do you believe? † In order to fly, the Darling children must have faith, and â€Å"think lovely wonderful thoughts†, as Peter’s fairy dust is, in itself not enough. In turn the reader or audience must have faith and believe in the fact that a child can fly. Similarly, in order to escape to Neverland, a reader must have faith that there is such a place â€Å"somewhere past the second star to the right and straight on until morning†. The theme of belief is particularly important at the end of Barrie’s story when the darling children lose their faith and no longer believe in Peter, and so cannot see him. Though faith and belief are important in Peter Pan, the dream of escaping to another world seems to be almost self-sufficient. Barrie implies there is little need to grow up or awaken from this dream as it is in fact already framed by the Edwardian domesticity of the â€Å"real† world where wealth and relationships are important. Carpenter in fact goes further than this by asserting that children must not grow up and claims that to visit Neverland â€Å"requires an act of belief that children cannot sustain as they grow up† (Carpenter p180). Peter himself seems to be of the opinion that it is only children, who can escape the drudgery of everyday life and claims, â€Å"I want always to be a little boy, and to have fun†. Barrie’s adventure story and his creation of such a magical hero seems to have achieved what so much children’s literature had previously tried to do. Peter represents the shift from the Victorian perception of the child as a â€Å"moral icon† to â€Å"a craze for the child as a fun-loving playboy hero† (Wallshli ger p111). Peter has no memory or emotion, and so â€Å"can live only for the moment† and experiences ecstasies that other children can never know (Wallshli ger p117). Peter is an asexual child rather than a young man. Barrie himself was also somewhat sexless, and it is doubtful whether his marriage was ever consummated. This lack of sexuality and romantic relationship is represented well on stage as Peter is often played by an actress, and is therefore viewed as an androgynous figure. Another interesting aspect of the casting of Peter Pan is that of Mr. Darling and Hook, who traditionally, are played by the same actor. This becomes particularly significant when considering the theme of masculinity in Peter Pan. There is much evidence of male competitiveness in the novel. The most obvious example of this is Peter’s dual with Hook, which appears to be an assertion of masculinity by Peter. It is particularly interesting that it is Peter and the lost boys who triumph over Hook who is a mature villain. This youthful triumph acts as another form of escape for a young reader. Traditionally in Victorian society adults were in control and would have power over children. In Barrie’s Children’s fantasy, it is youth and sexual immaturity that enable Peter to triumph over his adult rivals. It has been suggested by many critics that Peter, â€Å"The boy who wouldn’t grow up†, is a representation of Barrie himself. Barrie was a short man and despite a moustache â€Å"retained a markedly boyish look until old age† (Carpenter p173). He was in a physical respect, quite literally, a boy who couldn’t grow up. This figure of a man in a child’s body is undoubtedly the principle model for Peter, who is â€Å"neither child nor adult† (Carpenter p177).

A Summary of A Christmas Carol

Charles  Dickens  is one of the greatest novelists of the Victorian era. His novella A Christmas Carol is considered by many to be one of the great Christmas stories ever written. Its been popular since its first publication in 1843. Dozens of movies have been made of the story along with countless stage reproductions. Even the Muppets took a turn acting out this story for the silver screen with Micheal Caine starring in the 1992 movie. While the story does include an element of the paranormal it is a family friendly  tale with a great moral. Setting and Storyline This short tale takes place on Christmas Eve when Ebenezer  Scrooge is visited by three spirits. Scrooges name has become synonymous  with not only greed but a hatred of Christmas cheer. Hes portrayed at the start of the show as a man who only cares for money. His business partner Jacob Marley died years earlier and the closest things to a friend he has is  his employee Bob Cratchit. Even though his nephew invites him to Christmas dinner, Scrooge refuses,  preferring to be alone.    That night Scrooge is visited by the ghost of Marley who warns him that he will be visited by three spirits. Marleys soul has been condemned to hell for his greed but he hopes the spirits will be able to save Scrooge. The first is the ghost of Christmas past who takes Scrooge on a journey through the Christmass of his childhood first with his younger sister then with his first employer Fezziwig. His first employer is the exact opposite of Scrooge. He loves Christmas and people, Scrooge is reminded of how much fun he had during those years.   The second spirit is the ghost of Christmas Present, who takes Scrooge on a tour of his nephew and Bob Cratchits holiday. We learn that Bob has a sickly son named Tiny Tim and that Scrooge pays him so little the Cratchit family lives in near poverty. Even though the family has many reasons to be unhappy, Scrooge sees that their love and kindness towards each other brightens even the hardest of situations. As he grows to care for Tiny Time he is warned that the future does not look bright for the little boy.   When the Ghost of Christmas Yet to Come arrives things take a bleak  turn. Scrooge sees the world after his death. Not only does no one mourn his loss the world is a colder place seemingly because of him. Scrooge finally sees the errors of his ways and begs for the chance to set things right. He then wakes up and finds that only one night has passed. Full of Christmas cheer he buys Bob Cratchit a Christmas goose and becomes a more generous person. Tiny Tim is able to make a full recovery.       Like most of Dickens work, theres an element of social critique in this holiday tale that is still relevant today. He used the story of a miserly old man and his miraculous transformation as an  indictment of the Industrial Revolution and the money-grubbing tendencies that his main character Scrooge exemplifies. The stories strong condemnation of greed and the true meaning of Christmas is what has made it such a memorable tale.    Study Guide A Christmas Carol TextQuotesQuestions for Study and DiscussionVocabulary / TermsCharles Dickens Biography