SHANGHAI, April 25 The Shanghai Gold Exchange
(SGE) said it had raised the level of deposit required for its
silver forward contract by 3 percent and may roll out further
measures to curb excessive speculation and manage price
The SGE said margins on its silver [Ag (T+D)] forward
contract had been raised to 15 percent from April
25 compared with the previous 12 percent, according to a notice
posted on its website (www.sge.sh).
The SGE also it would raise from Tuesday the daily price
limit for the contract, which has a lot size of one kilogram, to
8 percent over or under the previous session's settlement from
the previous 7 percent.
"Should the market continues to show signs of overheating,
the exchange will implement other measures such as raising the
deferred rates to improve risk controls," it said.
The SGE's silver forward contract has soared in recent
months in line with the meteoric rise in the U.S. silver futures
contract. It was up 5.5 percent at 10,652 yuan ($1,637) a
kilogram at 0624 GMT, bringing its gains so far this month to
The most active U.S. silver futures contract SIcv1 surged
by more than 5 percent to a 31-year high at $48.51 an ounce on
Monday, in a broad rally in precious metals. [ID:nL3E7FP0EP]
There are 35.2 ounces in one kilogram.
SGE also offers two spot contracts which trade silver of
99.90 percent and 99.9 percent
($1 = 6.507 yuan)
(Reporting by Fayen Wong; Editing by Jonathan Hopfner)