This is quite bizarre in light of the metals crashing last week. Knowing the CME and the CFTC are gatekeepers to protect banks, why have they been told to continue to crush gold & silver. Have the bankers squandered what they claim to still own and need lower replacement prices?
In a statement, CME said initial requirements for gold's benchmark contract rose 21% to $11,475 per contract, from $9,450 and maintenance margins climbed to $8,500 from $7,000 per contract.
Margins are money investors must put up to be able to trade and hold futures contracts.
In silver, speculative traders must put up $24,875 to trade a 5,000-ounce contract. The cost to hold a contract overnight was lifted to $18,500.
Copper speculators must post $6,750 to open a contract and $5,000 to hold it overnight.
Exchanges require market participants to post margins to cover potential losses in trading sessions. CME executives have said margin increases typically take place when markets become more volatile.
CME raised Gold margins twice in August. Including the increases that take effect Monday, the margin increases since Aug. 11 total 55%.
