ICE raises margin requirements for arabica coffee futures

Reuters
2024.07.09 21:31
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ICE has raised margin requirements for arabica coffee futures as prices jumped more than 6%. The initial margin requirement for September contracts increased to $6,645 per contract, while requirements for March 2025 contracts rose to $6,120 per contract. This move is aimed at reducing risk and volatility in trading. Arabica coffee futures have gained 34% this year. Traders with large short positions may need to liquidate part of their position to avoid higher margins.