Silver prices retreated on Tuesday on the heels of Chicago’s tax margin requirements.
In a statement released on Monday, the CME said margins would be raised from $ 14,000 per contract to $ 14,000, based on “the normal review of market volatility to ensure adequate coverage for collateral.”
Silver futures contract SIH21,
for March, delivery dropped nearly 5% to $ 27.99 per ounce, after rising 9.3% on Monday to settle on Comex at $ 29,418 per ounce. The contract reached $ 30.35 per ounce on Tuesday, the highest intraday level since February 2013.
The conversation about the pressure on silver futures came as retail interest rose. According to FactSet, it flows to the iShares Silver Trust SLV,
was the fourth highest of any U.S. listed stock exchange fund.