PMEX suspends silver futures trading amid sharp price rally

The Pakistan Mercantile Exchange (PMEX) on Monday temporarily suspended trading in all silver futures contracts following unprecedented price movements and major order imbalances.

The suspension took effect at 10:30pm under Regulation 6.1.4(B) of the PMEX Rulebook. The exchange said all open positions will be settled or closed at prevailing settlement prices, while pending orders have been cancelled.

Market making in silver futures has also been temporarily halted at the request of market makers, under Regulation 21.5(2). Orders will only be matched between buyers and sellers when the new trading session begins.

The move comes amid a sharp surge in silver prices globally and domestically. Internationally, silver futures exceeded $100 per ounce, reaching $113 per ounce. In Pakistan’s bullion markets, silver prices have crossed Rs11,000 per tola.

PMEX noted that similar trading suspensions have been implemented in India, Turkiye, and Baku due to extreme volatility. The exchange said trading will resume once market conditions stabilise.