Silver and gold futures plummeted as the Chicago Mercantile Exchange hiked margin requirements for traders due to surging prices. Gold futures surged 65% this year, while silver more than doubled. The CME raised margin requirements for gold, silver, and other metals, citing market volatility. Silver futures dropped 8%, and gold fell 5% early Monday.

Silver prices soared this year, surpassing records from the 1980s when a market cornering attempt failed. Supplies are dwindling, with major mine production slowing. Increased demand for silver in solar panels and data centers also contributes to the price surge. Silver futures started at around $30 an ounce, briefly hitting $80 before the CME’s move.

Gold futures have climbed amid geopolitical uncertainty and fears of stock market bubbles. Silver, known as the “poor man’s gold,” trades similarly but has more industrial uses, making it more volatile. Unlike gold, silver is more exposed to economic cycles. The CME’s margin increase reflects market conditions and volatility.

Read more at Yahoo Finance: Surging silver and gold slide after CME raises margin requirements