The postponed contract margin ratio has increased to 140%, and many banks are tightening personal precious metal business.

On June 24th, Industrial and Commercial Bank of China announced that it will suspend the individual precious metal competitive bidding trading business on the Shanghai Gold Exchange in the near future. Since June, several banks have tightened their individual precious metal related business, including Huaxia Bank, Guangfa Bank, Bank of China and nearly 10 national banks have successively issued announcements adjusting the margin ratio for individual precious metal deferred contracts. Some banks have raised the margin ratio to 140%. Industry insiders believe that a margin ratio exceeding 100% means that the leverage level of individual precious metal deferred contracts has essentially returned to zero, and speculative funds will gradually exit the market.