Thailand Stock Exchange Expands Fluctuation Margins for Silver Futures

The Thailand Futures Exchange has recently revealed a key strategy to strengthen its position in Asian commodity markets: expanding the price fluctuation limits for silver futures trading. This move responds to the need to adapt to increasingly volatile international market conditions, allowing the Thai exchange to maintain its competitiveness in the region.

Gradual Adjustment Mechanism: From ±30% to ±100%

According to data released by Jin10, the adjustment system will operate in stages. When the trading price of silver futures reaches a fluctuation of ±30%, the Thailand Futures Exchange can subsequently expand the daily price limit to ±100%. This dual mechanism provides an initial safety buffer while allowing controlled expansion when market volatility requires it. The two-phase structure demonstrates a cautious approach to risk management in highly volatile instruments.

Balance Between Stability and Flexibility in Volatile Markets

The Thai exchange’s decision reflects a deliberate effort to balance two seemingly contradictory objectives. On one hand, it aims to preserve operational stability through moderate initial limits that prevent excessive swings. On the other hand, it recognizes that traders need flexibility to seize opportunities when significant movements in silver prices occur. This dual approach ensures transactions flow smoothly without unnecessary interruptions while protecting market participants from extreme volatility. The initiative demonstrates the Thailand Futures Exchange’s commitment to responsible regulatory innovation in its commodity market.