4 Replies to “Market volatility easing”

  1. I think we might have a problem, Houston…the CME advised late Friday that it was increasing all margin requirements on all contracts to 100%…liquidity is now becoming a major issue even at an exchange level and this new rule will see millions of margin calls on Monday which should slam dunk many commodiites especially those with long biases like silver as example…so I would expect CBOE volatility to go off the chart upwards

    1. Keith, It appears that the initial announcement from CME was misinterpreted: margin requirements are being lowered, not raised, to accommodate ex-MF customers switching brokers.
      See

  2. Keith that’s very interesting… because Bernanke can’t with credibility initiate QE3 with rising commodity prices and therefore rising inflation. As all economic figures are made to do what the powers that be want, in this interventionist fantasy market, to require full margins will drop these and bingo… the excuse he needs to pump prime the markets again just as EU recession is near certainty as ECB, with Germany’s backing -due to their personal experience with the Weimar hell of hyperinflation in living memory – has refused to print. I sure hope he knows what he is doing and isn’t just trying to keep the ‘peace’ before US election next year. If he is ‘playing with fire’ he deserves a deeper level of hell than even Greenspan.

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