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DGCX records 35pc growth in trading volumes in August

DUBAI, September 1, 2015

Dubai Gold and Commodities Exchange (DGCX) has recorded a 35 per cent growth in monthly trading volumes, with an all-time high in two years of more than 1.5 million contracts.
 
The increased volatility in global markets over the past month led to this trading volume increase on UAE’s leading derivatives bourse, said a statement.
 
DGCX also registered a year-on-year growth of 67 per cent and year-to-date growth of 18 per cent.  The overall average daily volumes (ADV) reached 73,268 contracts in the month of August, it said.
 
The exchange also recorded the highest average monthly open interest (OI) in August with 91,797 contracts, surpassing the previous high of 78,391 contracts registered last month.
 
The recent volatility in foreign exchange markets also drove substantial volumes on DGCX’s emerging markets currency products. 
 
The Indian rupee options contracts garnered significant traction with 21,221 contracts traded in August, in comparison to 9,511 contracts traded in July. 
 
The rupee options contract recorded a new high in ADV, trading 1,011 contracts in August. The Indian Rupee Quanto futures traded 230,493 contracts, up 69 per cent from July, crossing the $1.5 billion mark in terms of traded value. 
 
The volumes in Mini Indian Rupee futures touched 142,921 contracts, growing 61 per cent from previous month.
 
The ADV on DGCX’s India Gold quanto contract also grew by 30 per cent, trading 671 contracts in August. 
 
Gaurang Desai, founding member and newly appointed chief executive officer, DGCX, said: “Our FX futures and bullion products are attracting more traders than before as they seek safety in trading and hedging in a well regulated and transparent electronic platform like DGCX. 
 
"This is validated by the fact that the Exchange has witnessed a 20% increase in member participation since January 2015.” 
 
The volumes on DGCX S&P BSE Sensex futures jumped 38 per cent in August, trading 19,023 contracts, in comparison to 13,820 contracts in July. 
 
The contract also recorded the second highest ADV since August last year with 906 contracts, up 51 per cent from last month. This reflected the recent movements in global stock markets following the devaluation of the Chinese Yuan.
 
“As uncertainty in global markets looms, market participants are progressively looking at ways to hedge and manage their price exposure," said Desai.
 
"This is where a secure trading platform like DGCX comes into effect as it offers traders and investors with various hedging and risk management instruments which can soften the impact of market volatility,” he added. - TradeArabia News Service



Tags: DGCX | contracts | record | High | volume |

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