CME boosts margins for copper futures after rally to record peak
LONDON, May 16 (Reuters) -The CME Group CME.O has raised its margin requirements for trading copper futures, which hit record highs this week, effective after the close of business on Thursday.
The U.S. exchange operator raised the outright margins on copper futures by $500 to $5,000 per contract, the CME's clearing house said in a notice.
Sources told Reuters on Wednesday that commodity traders Trafigura and IXM were seeking physical copper to cover large bearish positions on the CME exchange, where U.S. copper futures surged to record highs.
May Comex copper futures HGc1 hit a record of $5.18 a lb on Wednesday and were up 1% at $5.02 on Thursday at 0905 GMT, having surged by 30% so far this year.
Reporting by Eric Onstad; editing by Jason Neely
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