Silver futures fall 8% after foreign exchange dealer CME Group raised margin requirements for the second time in a week.
In New York, futures are trading at $71.69 an ounce, having surpassed $80 in recent days. Investors in the stock market must deposit more cash to support their trades, which puts pressure on some to sell, driving down prices.
Silver posted its biggest daily gain on record on Tuesday, as traders responded to a drop in the precious metal’s price on Monday caused by the CME’s first change in margin requirements.