The Singapore Exchange
(SGX), an investment holding company located in Singapore, recorded increases
across various derivatives products on its exchange in April.
Total traded derivative
contracts on the platform rose by 19% year-on-year (YoY) to 20.8 million
contracts.
The derivatives daily
average volume (DAV), on the other hand, leaped 25% year-on-year (YoY) to 1.1
million contracts in April.
This is according to the
market statistics for April 2022 released by the exchange on Thursday.
SGX’s derivatives DAV soared to 1.06
million contracts
in February, reaching a peak not seen since March 2020.
The Ukraine-Russia
crisis added volatility to the derivatives’ volumes across the board.
While the equity index
futures volume climbed by 23% YoY to 15.1 million contracts, FX futures volume
rose higher by 27% YoY to 2.8 million contracts.
However, SGX had seen a bigger 34%
jump in FX futures volumes
in March when it hit 2.8 million contracts.
Again, the conflict
between Russia and Ukraine boosted hedging activity across the FX market.
While the USD/CNH
futures traded volume gained 48% MoM in March, the INR/USD futures volume
spiked by almost 22%.
STI Slides
The Straits Times Index
(STI), a market capitalisation weighted index that tracks the performance of
the top 30 companies listed on SGX, slid -2% MoM to 3,356.9.
This is even as the
securities daily average value (SDAV) fell -1% YoY in April to S$1.3
billion.
The STI has fallen even
further since, tumbling -1.9% or 60.89 points to close at 3,165.18 on Thursday.
The fall is part of
decline in Asian markets which tumbled on inflation fears following the release
of US consumer price index (CPI) data.
“The much-awaited US CPI
data revealed the first deceleration in consumer prices in 8 months. But with
the descent coming in slower than expected, it has kept the US equity markets
on edge,” IG market strategist, Yeap Jun Rong, told The Business Times,
a Singaporean financial daily.
The Singapore Exchange
(SGX), an investment holding company located in Singapore, recorded increases
across various derivatives products on its exchange in April.
Total traded derivative
contracts on the platform rose by 19% year-on-year (YoY) to 20.8 million
contracts.
The derivatives daily
average volume (DAV), on the other hand, leaped 25% year-on-year (YoY) to 1.1
million contracts in April.
This is according to the
market statistics for April 2022 released by the exchange on Thursday.
SGX’s derivatives DAV soared to 1.06
million contracts
in February, reaching a peak not seen since March 2020.
The Ukraine-Russia
crisis added volatility to the derivatives’ volumes across the board.
While the equity index
futures volume climbed by 23% YoY to 15.1 million contracts, FX futures volume
rose higher by 27% YoY to 2.8 million contracts.
However, SGX had seen a bigger 34%
jump in FX futures volumes
in March when it hit 2.8 million contracts.
Again, the conflict
between Russia and Ukraine boosted hedging activity across the FX market.
While the USD/CNH
futures traded volume gained 48% MoM in March, the INR/USD futures volume
spiked by almost 22%.
STI Slides
The Straits Times Index
(STI), a market capitalisation weighted index that tracks the performance of
the top 30 companies listed on SGX, slid -2% MoM to 3,356.9.
This is even as the
securities daily average value (SDAV) fell -1% YoY in April to S$1.3
billion.
The STI has fallen even
further since, tumbling -1.9% or 60.89 points to close at 3,165.18 on Thursday.
The fall is part of
decline in Asian markets which tumbled on inflation fears following the release
of US consumer price index (CPI) data.
“The much-awaited US CPI
data revealed the first deceleration in consumer prices in 8 months. But with
the descent coming in slower than expected, it has kept the US equity markets
on edge,” IG market strategist, Yeap Jun Rong, told The Business Times,
a Singaporean financial daily.
Source: https://www.financemagnates.com/institutional-forex/sgx-sees-jumps-in-derivative-markets-as-sti-shrinks-15/