cash margin

In futures trading, traders must cover losing positions every day with cash margin payments.

We delivered not just sales growth, but cash margin and cash generation."

The Comex's initial cash margins on all other copper contracts will continue to be $4,000, the officials said.

The new speculative initial cash margin for gold was raised to $2,100 from $1,700 for a 100-ounce contract.

Cash margins fell 20.8pc.

In an effort to calm the market yesterday, the Comex raised initial cash margins on copper to $4,000 a contract, from $2,500.

Comex officials have "encouraged" traders to settle the December contract by raising cash margins retroactively on the spot delivery to uncommonly high levels.

Broker calls for more cash margin added to the selling momentum, he added, "and we can expect even more margin calls to go out after today's selloff."

As of the close of the Comex today, the exchange cash margins on the spot December delivery will be doubled retroactively to 50 percent of the contract's value.

"This past Monday," she said, "the cash margin was more than doubled to 25 percent of the contract's value and is due to be increased to 50 percent at next Monday's opening.

The cash margin, which in the commodity market only represents "good faith money," was more than doubled, to 25 percent of the value of a contract last Monday morning, and is scheduled to be raised to 50 percent at tomorrow's close.

Because each one-cent move in grain and soybean futures equals $50 per 5,000-bushel contract, a 45-cent rise translates into $2,250, or roughly the minimum cash margin required by the Chicago Board of Trade for purchasing or selling a contract by those not in the trade.