Silver and Gold Price: The sharp decline in gold and silver prices continues for the third consecutive day today. Investors are continuously booking profits, due to which the prices of these precious metals are being badly affected. On Monday, on MCX (Multi Commodity Exchange), gold for delivery on April 2 was trading at Rs 1,38,256 per 10 grams, down by 3.00 percent (about Rs 4000). On the other hand, silver for delivery on March 5 was trading at Rs 2,49,713 per kg with a loss of 6 percent (about Rs 16,000).
Tremendous fall in the prices of gold and silver in the international market also
There is a huge fall in the prices of gold and silver in the international market also. Around 10 am on Monday, gold prices were down 4.20 percent (about $206) and were trading at $4689.43 an ounce. Similarly, silver also fell by 6.51 percent (about $ 5.56) and was trading at $ 79.76 an ounce. According to a statement from CME, margin requirements for gold futures will be increased across all risk categories. For non-heightened risk positions, margin will increase from 6% to 8% of the contract value. For heightened risk positions, margins will increase from 6.6% to 8.8%.
Margin for silver futures will be increased from 11% to 15%
For silver futures, the margin for non-heightened risk positions will increase from 11% to 15%, while the margin for heightened risk positions will increase from 12.1% to 16.5%. The increase in margin requirements means traders will have to pay more in the derivatives segment. According to experts, this may reduce speculative trading and reduce liquidity. Investors and traders are booking profits on a large scale amid CME increasing margin requirements for precious metals and weak global cues, due to which gold and silver prices are seeing such a sharp fall.
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