When news of key global events is published, it can have a subtle or substantial impact on financial markets which can in turn lead to periods of price instability for trading instruments. In order to protect against any market volatility, the leverage on those trading instruments is capped at 1:200 (1:50 for Indices) which can lead to higher margin requirements.
Higher margin requirement period (HMR period)
When important news involves a trading instrument, orders opened 15 minutes before the news release and 5 minutes after will have margin held at a maximum leverage of 1:200 (1:50 for Indices).
HMR period can be extended based on risk management decision depending on each news’ impact. For full details regarding the affected instrument and HMR duration, please check your trading platform MailBox, where you will find an email sent to you with the list of affected instruments.
This measure reduces a traders' risks of price instability during significant economic events.
After HMR period is over, the leverage restrictions are lifted and margin is recalculated based on the equity of the trading account and its set leverage.
Exness Terminal Watchlist displays a three-red-lines symbol beside instruments affected by the HMR period. Hovering the mouse over this symbol displays the duration of this HMR period.
Examples
Example 1
The following news release impacts USD:
- 12:30 USD Personal Consumption Expenditure Core (YoY) High
Between 12:15 GMT+0 and 12:35 GMT+0, any new orders opened on currency pairs involving USD will have margin held at a maximum leverage of 1:200.
Several news releases within 30 minutes of each other that involve the same trading instrument can lead to higher margin requirements for a longer period of time.
Several news releases impact USD/EUR:
- 12:30 USD PCE Core (YoY) High
- 12:30 USD Personal Consumption Expenditure Core (YoY) High
- 13:00 EUR German Consumer Price Index (YoY) High
In this case, higher margin requirements will extend the entire period, beginning 15 minutes before the first news release (12:15) and ending 5 minutes after the last news release (13:05).
Example 2
The following news release impacts US Indices:
- 12:30 USD United States_Initial Jobless Clm_indices
US Indices will be affected from 12:15 to 12:35 GMT + 0. This means that margin required to open new positions or when closing hedged positions will be 1:50 during this time.
News alerts
Exness sends out an email to traders once a day (at midnight server time), with a list of all affected instruments and the minimum margin requirements applicable for them.
The mailbox tab of your trading terminal will also receive this email daily and can be used to see which instruments are affected.
News release schedule
Traders can find the dates of all upcoming news releases with the Economic Calendar on the Exness homepage, Exness Trade mobile app, and the Exness Terminal Watchlist. We display the news for yesterday, today, and the next five days.
Here is a list of trading instruments available on the Economic Calendar:
- Currencies
- Metals
- Indices
- Stocks
- Energies
You can filter the news based on the trading instrument by clicking the “Symbols” dropdown.
Different events may have different impacts on instruments and HMR may last longer based on risk management decisions. For accurate information about the affected instruments and periods, please check MT MailBox.