DGCX Volumes Continue Upward Trajectory in March 2017

The Dubai Gold & Commodities Exchange (DGCX) has reported its trading volumes for the month ending March 2017, reiterating a strong YoY climb across its futures and currency business, per a company statement.

Following the triggering of Article 50 and the formal start of the Brexit Brexit Brexit stands for British Exit, or in reference to the United Kingdom’s decision to formally leave the European Union (EU) as declared in a June 23, 2016 referendum. In a more immediate sense, a tight vote and unexpected result helped drive British pound (GBP) to lows that had not been seen in decades.The day following the referendum, former Prime Minister David Cameron resigned from office where he was replaced by Theresa May, who later resigned from office on June 7th, 2019. Active Prime Minis Brexit stands for British Exit, or in reference to the United Kingdom’s decision to formally leave the European Union (EU) as declared in a June 23, 2016 referendum. In a more immediate sense, a tight vote and unexpected result helped drive British pound (GBP) to lows that had not been seen in decades.The day following the referendum, former Prime Minister David Cameron resigned from office where he was replaced by Theresa May, who later resigned from office on June 7th, 2019. Active Prime Minis Read this Term process, the average daily volumes (ADV) of DGCX’s product suite touched a strong milestone of 61,471 contracts a day in March 2017, signifying increased interest and Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term.

Meanwhile, the exchange's aggregate trading volume grew by double digits compared to the same period last year, crossing over 1.4 million contracts, valued at $33.5 billion, DGCX said in a statement.

Building on the standout performance, the DGCX witnessed high volumes in the ‎currency segment, with its flagship Indian rupee contract signifying the growth trajectory in the first quarter. More specifically, ADV on Indian rupee options registered strong year-on-year growth of 68 percent in Q1 2017.0

Also in DGCX’s currency segment, Indian rupee options jumped to their highest monthly average open interest of 30,174 contracts, while Sensex futures recorded the second highest monthly average open interest of 1,164 contracts last month.

DGCX also registered impressive year-on-year growth across pound and yen futures which rose 157 percent and 369 percent respectively. In addition, DGCX’s Canadian dollar futures saw a year-on-year advance of 188 percent while Swiss franc contracts added 93 percent growth in comparison to the same period last year.

Commenting on the exchange’s performance, Gaurang Desai, CEO of DGCX, said: “The brisk trading pattern we have witnessed in the past month reiterates that in times of volatility and uncertainty investors flock to regulated and transparent markets like DGCX to hedge against rapid price movements especially in global currency pairs.”

“If you observe the trading trends in the last few months, it is apparent that the European elections, policy decisions in the US and the initiation of formal Brexit negotiations, has created a lot of uncertainty in the minds of investors, which also then impacts equity markets and causes them to underperform. In times like these, derivatives markets play a pivotal role in protecting investors and traders by providing them with opportunities to hedge their risk,” he added.