CME Raises Copper Futures Margins By 20% After Global Prices Hit Record High

CME, the Chicago-based financial derivatives exchange, revised margin requirements for Copper futures on January 30, 2026, after prices in global markets touched record highs. The exchange raised both initial and maintenance margins significantly in response to elevated volatility.

Copper prices exceeded $6 per pound on the London Metal Exchange (LME), equivalent to more than $14,000 per metric tonne. The margin adjustments reflect the exchange’s effort to manage risk amid sharp price swings in commodities.

CME Revises Copper Margin Requirements

CME increased the initial margin on Copper trades from $11,000 per contract to $13,200 per contract. The exchange also raised the maintenance margin from $10,000 per contract to $12,000 per contract.

These changes represent a 20% upward revision in the required collateral for market participants. The revision was implemented following sharp movements in Copper prices at the global level.

Global Copper Prices Reach Record Levels

Copper prices surpassed $6 per pound on Thursday, translating to more than $14,000 per metric tonne on the LME. This price surge follows steep increases recorded throughout 2025.

The market saw a 42% rise in Copper prices last year driven by multiple demand-side factors. These included a weaker dollar, increased consumption in China and growth in energy, data centre and automotive sectors.

Additional Margin Revisions Across Precious Metals

CME also implemented higher margins on Silver futures contracts. The margin rate on Silver was revised from 9% of notional value to 11%. Heightened risk profile margins for Silver were raised from 9.9% to 12.1%.

The exchange additionally revised margin requirements for Platinum and Palladium futures. These revisions reflect broad-based adjustments across metals due to increased price fluctuations.

Commodities Experience Sharp Volatility

Commodities markets witnessed major price swings over the past 24 hours. Copper, in particular, has been influenced by expectations of supply shortfalls and expanding demand from industrial sectors.

It is due to structural demand growth from renewable energy components and electric vehicles. Infrastructure-led demand from data centres has also contributed to tightness in supply. These conditions have added to the overall volatility observed across global commodity markets.

Read More: India's Gold Demand to Decline in 2026 as Jewellery Buying Slumps.

Conclusion

CME’s decision to raise margins on Copper futures by 20% follows a period of extraordinary price movement in global markets. Similar adjustments across Silver, Platinum and Palladium indicate broad-based volatility in the commodities segment.

Copper’s surge above $6 per pound has raised margin requirements in the interest of market stability. The sustained rise in demand from industrial and technology sectors continues to influence price trends in the global metals market.

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