IB to increase silver margin to "scary" levels

Discussion in 'Metal Futures' started by peilthetraveler, May 4, 2011.

  1. IB account holders should appreciate this action... helps to protect customers as well as IB.
  2. i hope you wrote some calls last week against your silver Long
  3. I think everyone who doesn't trade silver via IB can agree this is a very good idea.
  4. benwm


    I actually hope they ramp up margins on a load of commodity futures because we'll get some great volatility.
  5. why does increasing silver future margins cause the price to go down. Are there more leveraged players long the market?
  6. You didn't really think all these people buying silver well above the cost of production were sober investors with sufficient capitalization, did you?
  7. Its strange isnt it? They increase margins because of the volatility which in turn reduces liquidity, which increases volatility which is the very reason they say they are increasing margins in the first place.
  8. what reduced liquidity are you talking about? SLV today has more volume than SPY
  9. Comex Silver futures, not the Silver ETF is what he is talking about...
    #10     May 4, 2011