CME Hikes Crude Oil Margins by 25 Percent

Discussion in 'Commodity Futures' started by GetBusyLiving, May 9, 2011.

  1. The CME Group raised U.S. crude oil futures margins by 25 percent as of the close of business on May 10, helping to bring prices down following a $5 a barrel spike on Monday.

    CME [CME.O 295.01 3.42 (+1.17%)], parent of the Chicago Board of Trade, said on its website that it had hiked margins for crude oil futures on the New York Mercantile Exchange by $1,250 per contract. With open interest in the contract topping 1.65 million lots last week, that would amount to an over $2 billion increase in total.

    http://www.cnbc.com/id/42966436



    I wonder if this will help my long dollar position :)
     
  2. You're assuming that all of those positions are "outright". The actual "margin intake" is a lot less because of spread and hedge positions. :cool: