CME Hikes Gold, Silver Margins After Historic Price Plunge

• CME Group is increasing margins on Comex gold and silver futures following their biggest price declines in decades.
• Gold margins for non-heightened risk profiles will rise to 8% from 6%, and heightened risk profiles to 8.8% from 6.6%.
• Silver margins for non-heightened risk profiles will climb to 15% from 11%, and heightened risk profiles to 16.5% from 12.1%.
• Margins for platinum and palladium futures will also be boosted, effective from Monday's close.
• The increase requires traders to put up more collateral, potentially impacting smaller players, and follows a review of market volatility.

Why It Matters: CME Group raised margins on gold, silver, platinum, and palladium futures due to recent price volatility.