Photographer: Andrey Rudakov / Bloomberg
Photographer: Andrey Rudakov / Bloomberg
The CME group increases Comex’s silver futures margins by 18% after the futures reach a maximum of eight years, the exchange said in a statement.
Margins will increase to $ 16,500 per contract from $ 14,000, beginning Feb. 2, according to the change. The decision is based on “the normal review of market volatility to ensure adequate collateral coverage,” it said in a statement.
The increase means that those who want to trade silver futures will have to take out more guarantees to ensure they can meet their obligations. While the exchange routinely increases margins when a contract is soaring or is extremely volatile, Monday’s move could eliminate smaller players who don’t have enough cash to make the necessary deposits.
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