CME hikes margins on all precious metals, gold up 33%, silver 36%

The CME officially confirmed that maintenance margins for gold, silver, platinum, and palladium futures will increase Feb 2, with gold up 33%, silver 36%, platinum 25%, and palladium 14%. What is obvious from today’s price action is that this is not fundamental selling, it looks like forced liquidations hitting positions that can’t meet the new requirements. People ignoring the move think it’s about volatility; the real truth is the exchange is protecting clearing firms from traders over-leveraged in metals, and anyone riding large speculative positions now faces sudden risk of margin calls and cascading selling.

Factcheck:

Yes, recent CME margin hikes amid silver’s price surge have pushed initial margins for a standard COMEX silver futures contract (5,000 oz) to around $95k on some platforms, up significantly from prior levels. Confirm with your broker for exact requirements.