Deutsche Borse Breaks 180 Ton Mark in Gold Holdings this May
- The Italian election stoked investor uncertainty, driving up the price of gold to a year-high
Deutsche Borse (DB) released its monthly report for its cash market activities today. The trading platform provider saw a ten percent year-on-year increase in trading volumes and a breakthrough in the level of gold holdings for the firm this May.
In May of last year, the firm finished the month with approximately €133 billion ($155.31 billion) in trading having taken place on its trading venues. This year, that figure grew to just under €146 billion ($170.49), representing a 10 percent year-on-year increase.
More impressively, DB’s gold holdings broke the 180 ton mark for the first time. The firm started the year with 174.2 tons in gold holdings. At the end of May, this number had increased to 181.8 tons.
Trouble in Italy
This growth in gold holdings was driven by sales in DB’s Xetra Xetra Xetra is an international securities trading venue, operated by the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse). An overwhelming majority of turnover on German exchanges goes through Xetra, making it one of the most important venues in the local market.Xetra operates as the reference market for exchange trading in German shares and exchange-traded funds (ETFs). The price fixing on Xetra is conducted via defined and transparent rules. Despite its importance to the German market, Xetra Xetra is an international securities trading venue, operated by the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse). An overwhelming majority of turnover on German exchanges goes through Xetra, making it one of the most important venues in the local market.Xetra operates as the reference market for exchange trading in German shares and exchange-traded funds (ETFs). The price fixing on Xetra is conducted via defined and transparent rules. Despite its importance to the German market, Xetra -Gold ETF. Each unit of Xetra-Gold is backed by one gram in real gold, meaning that each time someone purchases one unit of the ETF, one gram of physical gold is deposited into DB’s holdings.
Demand for gold seems to have been driven by ongoing political uncertainty in Europe. The Italian election and its ramifications with regard to the European Union lead investors to start buying gold.
“The uncertainty on the financial markets has considerably increased again. Demand for Xetra-Gold is directly connected to the political uncertainty in Italy,” Steffen Orben, Managing Director at DB’s commodities division, was quoted in the report.
As a result, gold reached its highest price of the year thus far in May. At the end of the month, the gold price tipped over the €36 mark for the first time since September of last year.
Deutsche Borse (DB) released its monthly report for its cash market activities today. The trading platform provider saw a ten percent year-on-year increase in trading volumes and a breakthrough in the level of gold holdings for the firm this May.
In May of last year, the firm finished the month with approximately €133 billion ($155.31 billion) in trading having taken place on its trading venues. This year, that figure grew to just under €146 billion ($170.49), representing a 10 percent year-on-year increase.
More impressively, DB’s gold holdings broke the 180 ton mark for the first time. The firm started the year with 174.2 tons in gold holdings. At the end of May, this number had increased to 181.8 tons.
Trouble in Italy
This growth in gold holdings was driven by sales in DB’s Xetra Xetra Xetra is an international securities trading venue, operated by the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse). An overwhelming majority of turnover on German exchanges goes through Xetra, making it one of the most important venues in the local market.Xetra operates as the reference market for exchange trading in German shares and exchange-traded funds (ETFs). The price fixing on Xetra is conducted via defined and transparent rules. Despite its importance to the German market, Xetra Xetra is an international securities trading venue, operated by the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse). An overwhelming majority of turnover on German exchanges goes through Xetra, making it one of the most important venues in the local market.Xetra operates as the reference market for exchange trading in German shares and exchange-traded funds (ETFs). The price fixing on Xetra is conducted via defined and transparent rules. Despite its importance to the German market, Xetra -Gold ETF. Each unit of Xetra-Gold is backed by one gram in real gold, meaning that each time someone purchases one unit of the ETF, one gram of physical gold is deposited into DB’s holdings.
Demand for gold seems to have been driven by ongoing political uncertainty in Europe. The Italian election and its ramifications with regard to the European Union lead investors to start buying gold.
“The uncertainty on the financial markets has considerably increased again. Demand for Xetra-Gold is directly connected to the political uncertainty in Italy,” Steffen Orben, Managing Director at DB’s commodities division, was quoted in the report.
As a result, gold reached its highest price of the year thus far in May. At the end of the month, the gold price tipped over the €36 mark for the first time since September of last year.