Euronext's October Volumes Hold Near Recent Highs, Commodities Soar MoM

Euronext, Europe’s largest Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term, has reported its total trading volumes for the month ending October 2016, having successfully held onto nearly all of its gains secured in the month prior, helping reiterate its strong position despite market trends, according to a Euronext report.

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To recap, last month was characterized by a strong performance in volumes that were kindled in large part by a surge in Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term across global markets. Consequently, Euronext saw its volumes explode MoM, rebounding off of August, which was one of its lowest readings of the year.

In October 2016 however, Euronext’s average daily cash orders came in at $7,018 million (€6,328 million), virtually unchanged MoM from $7,056 million (€6,363 million) in September 2016. The latest order book figures in October at Euronext also managed to hold onto its recent gains, a feat many other exchanges were unable to accomplish.

Volumes Mixed

Overall, a MoM stagnation in volumes was not a bad thing, given a recent high scored in September. Across other segments at Euronext in October 2016, which included its exchange-traded-funds (ETFs), the exchange reported a volume of $467.1 million (€421.0 million) from $484.6 million (€437.0 million) just one month ago, or -3.7% MoM. Compared to 2015 however, October 2016’s performance was much lower, coming in at -29.4% YoY.

By extension, Euronext’s equity index derivatives also were higher in October 2016, justifying a figure of 202,246 contracts for the month – this correlated to a fall of -3.7% MoM from 210,074 contracts in September 2016. Additionally, ADV of individual equity derivatives grew to 207,184 in October 2016 vs.194,196 contracts in the month prior or 6.7% MoM from September 2016.

Finally, with precious metal prices once again in a state of flux, Euronext saw a large ascension in its commodities volumes for October 2016. Higher trading volumes boosted the exchange’s ADV across commodities derivatives, which came in at 48,740 contracts for October 2016, or 31.3% MoM from just 37,128 contracts in September 2016.