N.Y. Times: CME Group popped the commodity bubble

According to a report by The New York Times, last week's historic drop in commodity prices was initiated by a decision by CME Group to increase the collateral required for traders to take positions in silver. That decision was made the previous week, on April 25, when exchange employees decided that higher prices demanded higher margins for traders to speculate in the white metal.

The increase in margins preceded a massive drop in silver -- which was more than 25% off its highs last week -- and the sentiment appeared to cascade through other markets, including crude oil.

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