Chapter 02 · Section 2.1
Short Position Expectations
An investor who enters into a short position in the securities, forwards, futures, or currency markets:
c) expects prices to remain stable.
No. Why would an investor take a position in a commodity if he expects the price to remain stable. He would be unable to sell high and buy low (or buy low and sell high), and thus unable to make a profit.
a) expects prices to rise.
b) expects prices to fall.
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