Silver futures will see even steeper revisions. Margins for non-increased risk positions will increase from 11% to 15%, while those under the increased risk category will increase from 12.1% to 16.5%. The exchange also announced margin increases for platinum and palladium futures, reflecting broader precious metals volatility.The revised margin requirements will come into effect from Monday’s close. CME Group said the decision follows a routine review of market volatility to ensure adequate collateral coverage and maintain orderly trading conditions.
Higher margins mean that gold, silver, platinum and palladium futures traders will now have to post additional collateral to maintain their positions. While margin adjustments are a standard response during periods of sharp price swings – both up and down – the latest move could make it more challenging for smaller participants with limited capital to stay active in the market.
Earlier this week, the exchange had already raised margins for silver, platinum and palladium futures following strong price increases.
On Friday, spot silver on the international market fell 28% to $85 per troy ounce. The white metal hit an all-time high of $121.60 earlier this week. On the MCX, Silver March futures fell 27% (or Rs 1,07,968) in a single day, marking the worst ever crash and pushing prices back below the Rs 3 lakh mark, just a day after the metal rose to a record high of Rs 4 lakh.
Also read: Silver crashes above Rs 1 lakh, records worst ever fall on MCX. Three factors behind the decline
Gold prices also fell sharply on Friday, falling 4.7% to $5,143.40 per ounce. On the MCX, February gold futures fell 12% or Rs 20,514 to close the session at Rs 1,50,440 per 10 grams, marking their worst one-day defeat since March 2013 when prices on the MCX had fallen 9%.
The main reason was President Trump’s appointment of Kevin Warsh as the next Chairman of the US Federal Reserve. Mr. Warsh, known for his aggressive stance on inflation control and emphasis on Fed independence, led to a rapid macro revaluation: the U.S. dollar strengthened, real interest rates rose and gold and silver debt positions, seen as overextended hedges against degradation, were quickly reduced.
This led to violent liquidations, wiping out billions in market value and washing away weak hands in what he described as a classic euphoria-to-exhaustion phase, rather than signaling a structural bear market reversal.
Despite the severity of the pullback, the secular bullish structure heading into 2026 remains firmly intact, according to Enrich Money’s Ponmudi R. The key drivers remain, with ruthless central bank purchasing being the most important.
The correction serves as a healthy reset, clearing away excess debt, speculative froth and overbought conditions, positioning the market for more sustainable upside potential once sentiment stabilizes and buy-on-dip rates return. “Caution is warranted in the short term due to the strength and volatility of the dollar, but medium to long term forecasts remain firmly bullish,” Ponmudi said.
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