Silver's Huge Decline
If you've been keeping up with the silver prices, you may have noticed it went down a lot (23%) in the last two days alone. Silver hit a high of $47.015 on May 2nd and today, May 5, it's trading at around $36.35. If you're wondering why silver has gone down so much so fast, part of the reason was because of the announcement by the Commodity Exchange Inc (Comex) which is owned by the Chicago Mercantile Exchange (CME) to increase the margin requirements for silver futures effective at the end of today (Thursday) and another one due on Monday, May 9, 2011. They only announced the new margin requirement late Wednesday, May 4, 2011. This made a lot of investors withdraw from the market or sell some of their holdings to meet the new margin requirements. Another reason is the pullout of gold and silver by Hedge Fund manager George Soros . If someone is selling that much gold and silver, the prices is bound to go down. Whenever they report a fund manager do something like ...