NYMEX To Decrease Palladium Futures Margins

The New York Mercantile Exchange will decrease the margins on its palladium futures contracts at the close of business today for July 2000 and beyond. The initial margins will be lowered to $5,000 from $15,000 for clearing members; to $5,500 from $16,500 for members; and to $6,750 from $20,250 for customers.

Due to the reduction in the back month contracts, margin rates on spreads between the back months and the May or June contracts will increase to $10,250 from $250 for clearing members; to $11,275 from $275 for members; and to $13,837.50 from $337.50 for customers. Spreads between May and June or between two back months will remain the same.