GMO Click Reports Drop in FX Volumes, Reversing Previous Gains

GMO Click, a Japanese broking giant, has published its trading volumes for November 2018, showing a reversal in gains achieved during the previous month. In particular, the firm saw the biggest hit in its foreign exchange (FX) trading.

Back in March and April, GMO’s trading volumes took a rather large hit. Since then, up until October, the broker has seen a constant upward trend in terms of the number of securities contracts traded, although it has not been able to recover completely.

Now November’s volumes on GMO seem to have reversed this trend of recovery, with the broker reporting that the average number of contracts per day traded during the month was 47,389 - more than nine percent less than October, where 52,216 contracts were traded.

During November, the monthly trading price on GMO was ¥1.3 trillion ($11.5 billion). This is down by around 16 percent from the previous month, which had a monthly trading price of ¥1.5 trillion. The average trading price per day during the month was ¥59.9 billion. This is also a drop from October, falling by almost 13 percent.

Declining FX Volumes

Taking a look at the FX over-the-counter (OTC) volumes through the company’s retail Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term trading FX Neo platform, the monthly trading price for November came in at ¥642 billion. This is also lower than the monthly trading price in October by about ten percent, which was ¥711 billion.

This decline in the monthly trading price comes in spite of an increase in the number of accounts on the FX Neo platform. In November, 5,929 new accounts were added, bringing the total to 572,113.

Moving onto Click 365, forex volumes were also down on a month-on-month basis, with the monthly traded quantity hitting 522,201 contracts. Specifically, 61,384 fewer contracts were traded in November of 2018 than the previous month, representing a decline of more than 10 percent.