GMO Click Also Sees Weaker Volumes Amid Lower Volatility in May

The broker has recorded consecutive monthly declines in volumes since March.

As volatility driven by the coronavirus pandemic continues to lessen, more trading providers are reporting declining volumes from the record volumes posted in March. This Wednesday, GMO Click has published its data for the month of May.

According to the data provided to Finance Magnates the Japanese retail broker has yet again reported a drop in trading volumes in May, falling from the volumes achieved in the previous month.

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As Finance Magnates reported, April also experienced a drop in trading volumes against that achieved in March. Therefore, since the third month of the year, the broker has recorded consecutive months of falling trading activity.

In particular, the Japanese broker achieved a total over the counter (OTC) foreign exchange (forex) margin trading volume of $900.5 billion. This represents a drop from the previous month, which had a trading volume of $1.06 trillion, of 15.2 per cent.

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Although lower on a monthly comparison, the trading volume achieved in May is still a historically solid monthly performance. In fact, besides March and April of this year, the next best performance after May is March of 2018.

In terms of yearly growth, in May of 2019, GMO Click noted a monthly OTC FX trading volume of $604.8 billion. Therefore, last month’s volume has grown by 48.9 per cent on a yearly scale.

On-exchange volumes fall on GMO Click

Taking a look at the on exchange trading volumes, the situation appears to be much the same, with the total volume for the month of May coming in at $2.8 billion. This is lower than the $3.1 billion volume posted in April of 2020 by 9.7 per cent. It is also significantly less than the $8.5 billion trading volume achieved in the month of March.

On a yearly measurement, unlike with the OTC trading volumes, the volumes recorded in May of 2020 by the broker are actually lower. Specifically, volumes have fallen by 6.7 per cent, down from $3.0 billion in May of 2019.

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