Shanghai Gold Exchange: Notification On Adjusting Margin Rates And Price Limits On Gold Deferred Contracts

Because of recent large fluctuation of gold price, according to the “Measures for the Administration of Risk Control of Shanghai Gold Exchange”, SGE decided to make adjustment to the margin rates and price limits of Au(T+D), mAu(T+D), Au(T+N1), Au(T+N2), NYAuTN06, NYAuTN12 contracts. Detailed adjustment is hereby given as below:

As of after-hours clearing on July 23rd, 2020 (Thursday), margin rates for Au(T+D), mAu(T+D), Au(T+N1), Au(T+N2), NYAuTN06, NYAuTN12 will be adjusted from 8% to 9%, and the price limit will be adjusted from 7% to 8% starting from the next trading day.

If a limit-locked market occurs on July 23rd, 2020 (Thursday), according to the relevant rules in “Measures for the Administration of Risk Control of the Shanghai Gold Exchange”, higher level of trading margins and price limits will be adopted if the adjustment for trading margins and price limits in limit-locked market formulated in are higher than the above adjustment.

Please properly manage the risk, and duly adjust the margin rates based on customers’ positions and risk exposures. Please kindly remind your customers to be cautious, make rational investment and position management, so as to ensure the healthy and stable operation of the market.