Foreign exchange and CFDs brokerage GAIN Capital has just reported its aggregated trading volumes for the month of October 2017. The group’s most recent retail volumes took a step back during the month, continuing a consecutive string of declines from August this year.
GAIN’s retail volumes performance seems somewhat inverted this year, as it typically sees a recovery off of August lows, steadily building up in the fall with volatility more prevalent. 2017 has been the opposite scenario, with retail volumes retreating off of a high in August.
Still, there were several events that helped drive currency markets in October. This included the ECB’s decision, albeit an underwhelming one, which triggered a selloff. Additionally, the focus was once again on the US Federal Reserve, with Trump’s nomination of a new chair.
In particular, GAIN Capital’s retail clients transacted a total of $192.5 billion in October 2017, retreating 5.0 percent month-over-month from $202.6 billion in September 2017. The latest reading opens up a larger loss off of last month’s volumes, having been pointed firmly lower since an unusually active August.
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Over a yearly timetable, GAIN’s latest retail OTC volume was marginally higher, albeit by a factor of less than 1.0 percent year-over-year from $190.9 billion in October 2016. Of note, October 2017 featured a total of 22 trading days, relative to 20 trading days back in September 2017.
The group’s average daily volumes (ADVs) came in at $8.8 billion in October 2017, down 8.3 percent month-over-month from $9.6 billion per day in September 2017, though down 3.2 percent on a yearly basis.
Meanwhile, active accounts in the retail segment totaled 133,599 in October 2017, which is marginally lower on a monthly basis from 133,813 accounts in September 2017. This reading is higher relative to October 2016, gaining 4.1 percent year-over-year.
Institutional volumes drop
GTX, the electronic communications network and institutional segment of GAIN Capital’s business, saw its volumes once again decline in October 2017. The group reported a reading of $250.0 billion in October, declining on a monthly basis from $279.0 billion in September 2017 or -10.4 percent. This figure is however higher by 36.9 percent year-over-year, relative to $182.6 billion in October 2016.
GAIN Capital’s swap dealer facility registered a growth in October 2017 with transactions rebounding 15.4 percent month-over-month to $72.5 billion, compared to $62.8 billion in September 2017. The rebound occurred after falling over 40 percent in this segment last month.
Meanwhile, futures trading registered a climb to 524,625 contracts, corresponding to a growth of 9.7 percent month-over-month when weighed against 478,196 contracts in the month prior.