Thursday, 25 August 2011

Margin requirements on gold futures hiked again

Unsurprisingly, perhaps, given the recent gains in the gold price, the Comex operator CME Group announced another rise in margin requirements on gold futures yesterday – the second such rise this month. This has contributed to the selling pressure in the gold market seen over the last couple of days. But a comparison with the silver sector shows that the white metal’s sharp price decline in early May this year – caused in-part by CME’s consecutive hikes of silver margin requirements – has not derailed silver’s long-term prospects.

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