Case analysis: negative WTI on MCX

(a) Show that the MCX settlement of −₹2,884/bbl follows from the NYMEX settlement and the RBI reference rate. (b) A retail trader bought one MCX CRUDEOIL lot at ₹1,000/bbl on the morning of 20 Apr 2020 and held to expiry. Compute the loss. (c) Using Proposition 10.2, explain why the June contract stayed positive. (d) List three risk controls a broker should have had in place, and explain the role of each.