SGX’s December Turnover Mixed, FX Futures Climb

FX futures at SGX had a strong month, helped in large part by stronger USDCNH volumes.

The Singapore Exchange (SGX) has released its monthly volumes across its derivatives and commodities segments for December 2019.

The latest securities and derivatives volumes cratered during the final month of the year amidst subdued trading that saw one of the lower readings of the calendar year.

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Markets experienced a seasonal lull, with low volatility and a lack of market drivers serving as the primary culprit.

Additionally, with the Western world observing multiple holidays, as markets seemingly ground to a halt by the month’s end, not unlike other global exchanges in the US, Europe, and Asia.

In terms of SGX’s latest turnover figures, the group reported its securities volumes at $14.9 billion (S$20.1 billion) in December 2019.

This figure reflected one of SGX’s lowest readings of 2019 – on a monthly basis this reflected a decline of 12 percent from (S$18.1 billion) in November 2019.

Of note, SGX saw a total of 21 trading days, unchanged from 21 in November. The results are somewhat weaker than other institutional venues in December, nearly all of which saw a consolidation of volumes.

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Furthermore, the SGX’s daily average value of trading in the month plunged in December 2019, having yielded just $711.1 million (S$960.0 million).

This was a fall of 26.1 percent month-over-month from $930.0 million (S$1.2 billion) in November 2019.

SGX’s total market capitalization during December 2019 was reported at $694.5 billion (S$937.8 billion), virtually unchanged month-over-month from $691.8 billion (S$934.5 billion) in November 2019.

This figure encompassed the total market cap for all 722 listed companies on the SGX, losing six listings since the previous month.

SGX FX momentum continues

SGX’s FX segment continued showing signs of life in recent months, as December 2019 saw these volumes continue to gain momentum heading into year’s end.

Total FX futures volumes were reported at 2.07 million contracts in December 2019, indicating a growth of 21.8 percent month-over-month from 1.87 million contracts in November 2019, which was amongst the highest readings at SGX in 2019.

FX futures also experienced an 18.0 percent year-over-year growth relative to December 2017, with INR/USD and USD/CNH futures constituting the largest proportion of trading.

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