CME Group Raises Margin Requirements for Precious Metals

A notice sent out by the CME Group Monday, April 15, 2013, announced new, higher margin rates for gold and silver futures effective at the close of business Tuesday, April 16. 

Because of the extreme volatility of the past week the margin increases were widely rumored and expected. 

For Spec traders in the 100-ounce gold contract (GC) the initial performance bond requirement jumps $1,100 or 18.5% from $5,940 to 7,040 per contract. Maintenance (margin) requirements also will increase $1,000 or 18.5% from $5,400 to $6,400  per contract.  (More…)

For Hedge members both the initial bond requirement and Maintenance rates will also increase 18.5% from  $5,400 to $6,400 per GC gold contract. 

Silver

For Spec traders in the 5,000-ounce silver contract (SI) the initial performance bond requirement jumps $1,925 or 18.4% from $10,450 to $12,375 per contract. Spec Maintenance (margin) requirements will increase  $1,750  (also 18.4% higher) from $9,500 to $11,250 per contract.

For Hedge Members in the SI silver contract, both the initial bond and margin rates will increase 18.4% from $9,500 to $11,250 per contract.

Other margin changes in various metals contracts, including platinum and palladium, were reported in the notice, linked below.

Source:  CME Group

http://www.cmegroup.com/tools-information/lookups/advisories/clearing/files/Chadv13-182.pdf

2013-04-15 16:03:22

Source: http://www.gotgoldreport.com/2013/04/cme-group-raises-margin-requirements-for-precious-metals.html