**Margin Hike Triggers Precious Metals Selloff: Silver Down Over 9%, Gold Faces Fresh Pressure**

The precious metals complex experienced a severe bearish reversal after the Chicago Mercantile Exchange announced elevated futures margins. This technical adjustment, typically deployed to manage volatility, effectively priced out leveraged positions and ignited a cascade of liquidations across the board.

**Silver's Sharp Retreat**

New York silver futures led the decline, collapsing over 9% to break below $71 per ounce. Spot silver deteriorated further, sinking $5 to $71.14 per ounce. The move represents a significant technical breakdown, with margin requirements acting as the immediate trigger. Silver's outsized move suggests retail and institutional traders were caught holding overleveraged long positions heading into year-end.

**Gold and Other Precious Metals Under Pressure**

Spot gold retreated $50 from intraday peaks, currently hovering at $4,323 per ounce. The pullback, while modest in percentage terms, signals weakening safe-haven demand. More concerning are the performances of secondary precious metals: palladium declined 7% to $1,507 per ounce, while platinum suffered the steepest loss, plunging over 12% to $1,962 per ounce. The broader weakness across all precious metals indicates the selling was systematic rather than concentrated in any single contract.

**What's Next for Precious Metals?**

Margin increases typically precede consolidation periods rather than directional reversals. Traders should watch whether spot prices find support at current levels or if the futures-driven pressure spreads to physical markets. The synchronized weakness across the precious metals complex suggests macro factors—likely dollar strength or shifting rate expectations—are layering atop the technical squeeze.