(Kitco News) - Margins needed to trade Comex silver futures are being increased by the CME Group and will take effect after the close of business on Tuesday, the exchange said Monday in a press release.

The move by the CME Group to raise the margin needed to trade – also known as performance bonds – silver futures on the Comex division of the New York Mercantile Exchange likely won’t come as a surprise given the heavy volume and more than $4 an ounce price swing in the metal on Monday. Futures traders had talked about the possibility this would occur because of Monday’s volatility. The CME Group is the parent company for the Comex and Nymex.

The changes are as follows:

Comex 5000 ounce silver futures and Comex Silver Trade At Settle

Trader Type  Current Initial Margin Current Maintenance   New Initial   New Maintenance
Speculator      $11,745 $8,700     $12,825 $9,500
Hedger/Member   $8,700  $8,700  $9,500  $9,500

Comex MiNY Silver Futures

Trader Type  Current Initial Margin Current Maintenance   New Initial   New Maintenance
Speculator     $5,873   $4,350    $6,413   $4,750
Hedger/Member  $4,350   $4,350   $4,750 $4,750

E-Mini Silver Futures

Trader Type  Current Initial Margin Current Maintenance   New Initial   New Maintenance
Speculator     $2,349   $1,740    $2,565     $1,900
Hedger/Member  $1,740   $1,740  $1,900  $1,900

By Debbie Carlson of Kitco News dcarlson@kitco.com

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