SGX’s FX Futures Volume Jumps 30% in July 2021

Singapore Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term (SGX) released its market statistics for July 2021 today and highlighted a substantial jump in the overall foreign exchange (FX) trading activity during the last month.

According to the numbers, the total FX futures volume reached 2.2 million contracts in July 2021, which is 30% higher compared to the same period last year. The latest jump was led by a 38% y-o-y gain in SGX INR/USD futures.

Additionally, SGX USD/CNH Futures climbed 20% y-o-y in the last month on uncertainty over the impact of China’s regulatory reforms in the domestic economy. In addition to the latest jump in FX trading activity, the exchange reported a surge in derivatives volume.

“Derivatives total traded volume on SGX rose 8% month-on-month (m-o-m) in July to 20.4 million contracts, the highest in four months. SGX’s shelf of pan-Asia benchmark equity derivatives increased 13% m-o-m to 15.2 million contracts, with MSCI Singapore Index Futures gaining 23% m-o-m. SGX FTSE China A50 Index Futures volume climbed 19%, SGX FTSE Taiwan Index Futures advanced 5%, while SGX Nifty 50 Index Futures were up 7%,” the exchange mentioned.

Last month, Singapore Exchange announced the acquisition of MaxxTrader, the single source and direct-to-market FX Trading Platform Trading Platform In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real Read this Term, to expand its presence in the FX OTC space. During the latest announcement, SGX highlighted that the exchange is building an integrated FX ecosystem and marketplace to facilitate global access to OTC and on-exchange currency derivatives.

ETF Turnover

In July 2021, SGX saw a substantial jump in exchange-traded funds (ETFs) turnover. The total market turnover value of ETFs on the Singapore Exchange increased 50% m-o-m in July 2021 to S$563 million, which is the highest since March 2020.

“Volumes in the Lion-OCBC Securities Hang Seng TECH ETF was almost four times higher on growth in client participation. Straits Times Index (STI) ETFs and fixed income ETFs, in particular, the Nikko AM SGD Investment Grade Corporate Bond ETF and iShares Barclays Capital USD Asia High Yield Bond Index ETF, also performed strongly,” SGX added.