CME Group announced on Tuesday, December 30 2025 that it would raise margin requirements for gold, silver, platinum and palladium futures, with the new levels taking effect after the close of business on Wednesday, December 31 2025. The exchange lifted the initial margin for COMEX 5,000‑ounce silver contracts from $22,000 to $25,000, and for E‑mini and micro silver contracts from $4,400 to $5,000. Gold maintenance margins rose from $20,000 to $22,000, while platinum margins increased from $6,500 to $8,000.
The announcement came amid a historic rally that has pushed gold higher than 70% year‑to‑date and silver above 150%. The surge has been driven by a combination of central‑bank buying, geopolitical uncertainty, expectations of U.S. Federal Reserve rate cuts, a weakening dollar, and strong industrial demand for silver from solar, electric‑vehicle, and data‑center applications.
Following the margin hike, precious‑metal futures prices fell sharply. Silver futures dropped about 8% to $9.90 per ounce, while gold futures slipped 1% to $1,950 per ounce. Platinum and palladium futures also saw significant declines, and several gold‑mining stocks, including Newmont, fell as investors reacted to the tighter collateral requirements and the potential for forced liquidations.
The margin increase is a classic risk‑management tool used by exchanges to ensure adequate collateral coverage during periods of extreme volatility. By raising the collateral threshold, CME is curbing speculative leverage, which can reduce liquidity and increase the cost of hedging for institutional and retail traders. The move signals that the exchange is prioritizing market stability over short‑term trading volume, a decision that may dampen speculative activity but protects the broader market from systemic risk.
CME’s financial performance remains strong, with a 12‑month earnings per share of $10.32 and a Q3 2025 net profit margin of 57.9%. The margin hike is unlikely to materially affect the exchange’s revenue or profitability, but it underscores the firm’s commitment to maintaining robust risk controls in a highly volatile market environment.
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