Dubai Gold and Commodities Exchange crosses 6 million contracts

UNITED STATES May 02 2016 6:26 PM

DUBAI (Scrap Register): Year-to-date (YTD) trading volumes on the Dubai Gold & Commodities Exchange (DGCX) crossed 6 million contracts in April 2016, growing 45% over the same period last year whilst maintaining a steady Average Daily Open Interest of 109,487 contracts.

Growth was primarily driven by DGCX's currency segment, which saw a substantial increase of 43% compared to the same period last year trading 5,740,764 contracts on a YTD basis. The G6 currency pair futures saw highs of 122,109 contracts with Euro and British Pound futures leading the way with a growth of 190% & 154% respectively. 

Among the emerging market currencies, South African Rand futures demonstrated a steady growth of 47% over same period last year. Indian Rupee options also saw brisk trading this year with 96,940 contracts traded, up 220.7% from the same period last year.

The month of April saw the Exchange setting several records especially in relation to recently launched products. Chinese Yuan futures recorded the highest monthly volume with 4,245 contracts worth US$ 212 million while the Indian Rupee Quanto recorded the 2nd highest ever Average Daily Volume (ADV) of 27,071 contracts. Volumes in US Single Stock futures were up by 107% as compared to March 2016.

Spot Gold contract continued it growth trajectory attracting local bullion participants with physical delivery of 5,760 ounces, an increase of 38% when compared to last month, similarly ADV in Gold futures witnessed an increase of 39% year-on-year (YOY).

Gaurang Desai, Chief Executive Officer of DGCX, said: “According to a recent annual survey by the World Federation Exchange, currency and commodity derivatives experienced the largest volume growth in 2015 (up 37% and 26% respectively over 2014). Our performance so far indicates that last year's trend is continuing into 2016.  This phenomenon represents the tangible use of financial exchanges such as DGCX especially when investors are seeking to hedge and mitigate risks amidst heightened volatility in global markets.”