-- The Intercontinental Exchange (ICE) is set to sharply increase margin requirements for traders on its Brent crude and European diesel futures contracts amid heightened volatility driven by the Middle East conflict, Bloomberg reported on Thursday.
The move will more than double the cost of trading some of the world's most liquid oil benchmarks, and the new margin requirements are to take effect at the close of business on Apr. 10.
Margins for the front-month Brent crude contract are to increase to just over $11,000, more than double current levels. For the front-month ICE gasoil contract, a key diesel benchmark, margins are set to jump more than fourfold to nearly $21,000, Bloomberg reported.
ICE did not immediately respond to a request for comment from.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)