The FINANCIAL -- Intercontinental Exchange announced that ICE Futures U.S. plans to launch a new London Silver Daily Futures contract on September 5, 2017, pending regulatory review.
The contract offers physical delivery of unallocated silver held in a London Precious Metals Clearing Limited vault.
The launch of the Silver Daily futures contract coincides with the recent news that ICE Benchmark Administration (IBA) has been chosen as the new administrator for the LBMA Silver Price Auction, which is expected to commence in autumn 2017. The Daily Futures contract will enable participants in the LBMA Silver Price Auction to exchange their auction positions for cleared futures contracts held with ICE Clear U.S., consistent with the LBMA Gold Auction positions. This will help open the Silver Auction to a broader cross section of market participants and facilitate greater volume in the auction, according to Intercontinental Exchange.
The ICE Silver Daily Futures Contract will be a physically settled contract traded in one-half U.S. cent ($0.005) per ounce increments. The contract calls for delivery of 5000 fine troy ounces of silver of quality satisfying the LBMA Good Delivery Rules.