The Pakistan Mercantile Exchange (PMEX) has temporarily suspended trading in all silver futures contracts due to significant price movements and order imbalances, as announced on Tuesday. According to an official statement issued by PMEX earlier in the day, the suspension, effective at 10:30 pm, is set to remain in place until the market closes on Monday under the powers granted by Regulation 6.1.4(B) of the PMEX Rulebook. All open positions will be settled or closed at prevailing settlement prices, with pending orders being canceled.
In addition, market making in silver futures has been temporarily suspended upon requests from market makers, as per Regulation 21.5(2) of the PMEX Rulebook. Consequently, only orders matching between buyers and sellers will occur when trading resumes.
This move comes amid a sharp increase in silver prices both domestically and internationally. Globally, silver futures reached $113 per ounce, surpassing $100 per ounce. In Pakistan’s bullion markets, the price of silver has exceeded Rs11,000 per tola. PMEX reported that similar trading suspensions have been observed in commodity exchanges in India, Turkey, and Baku due to extreme volatility.
Trading is expected to resume once market conditions stabilize.