USV - CME hikes silver futures margins following retail buying frenzy

Silver futures (XAGUSD:CUR) open lower after the CME Group (CME) says it is raising margins on Comex silver futures by 18% after surging today to an eight-year high, in a move that could edge out smaller players who lack the cash to make necessary deposits.Margins will rise to $16,500 per contract from $14,000, effective Feb. 2, based on "the normal review of market volatility to ensure adequate collateral coverage," CME says.The narrative driving the rise of silver futures and equities is powerful, says Sprott U.S. Holdings CEO Rick Rule."The issuer community will flood the market with capital raises, particularly the U.S.-listed ones who can access the superior liquidity with 'at the market' equity issuances," Rule tells Bloomberg.ETFs: [[SLV]], [[SIL]], [[PSLV]], [[AGQ]], [[USLVF]], [[SILJ]], [[SIVR]], [[SLVP]], [[SLVO]], [[ZSL]], [[DSLV]], [[DBS]], [[USV]]Most-active prices started -1.7% at $28.925/oz. in Singapore, after surging as much as 13% today to the highest level since 2013.

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CME hikes silver futures margins following retail buying frenzy