FX volume takes step back at Singapore Exchange in July

abdelaziz Fathi

The Singapore Exchange (SGX), the country’s paramount exchange operator, has released its monthly volumes across its FX, derivatives and commodities segments for July 2022.

Total FX futures volume on SGX stood at 2.5 million contracts in July, up by 16% on a yearly basis. However, the figure was lower 14 percent from 2.5 million contracts in June.

The exchange said FX activity was lifted by increased risk-management demand, as investors focused on China’s economic outlook. USD/CNH contracts – the most widely traded international RMB futures – rose by a third on a yearly basis to 1.1 million contracts, but was down when compared to 1.5 million contracts in the prior month.

The CNH or offshore RMB is increasingly being adopted as a safe-haven currency amid heightened risk aversion, and the SGX contract is now the world’s most traded CNH futures.

Meanwhile, commodity derivatives volume increased on both a YoY and month-on-month basis on the back of improved sentiment over China’s economic outlook. Commodity derivatives volume climbed 57% YoY to 3.6 million contracts, the highest since March. Demonstrating close alignment with macro developments, the SGX’s commodities offering enables market participants to express their views and manage risk efficiently.

Elsewhere, SGX Equity derivatives volumes declined on reduced volatility, but key stock indices were buoyed by steady corporate earnings and easing expectations for further significant U.S. interest-rate hikes.

SGX-listed companies continued to tap the equity capital markets in July, with secondary fundraising of almost S$2.05 billion, up 141% YoY. This was the largest amount since June 2021.  On SGX Fixed Income, Asia’s leading international bond marketplace, the amount issued from 176 new bond listings totalled S$45.9 billion in July, the highest since April.

Total securities market turnover value stood at S$18 billion, with securities daily average value at S$901 million – down from the previous month, but showing more resilience than other regional markets. Stock investors were broadly on the sidelines for most of July amid continued concern over the path of the world economy, before a pickup towards month-end.

With geopolitical uncertainty, elevated inflation and recession concerns a common theme across Asian markets, SGX Group continues to provide global investors with a highly liquid toolkit to manage risk over multiple asset classes.

Read this next

Institutional FX

CLS FX volume continues downward trend in August

Total daily traded volume submitted to CLS for settlement took yet another step back in August.

Digital Assets

Huobi taps AstroPay to facilitate fiat-to-crypto payment in Latin America

Huobi, the world’s sixth-largest crypto exchange by trading volume, has recently partnered with payment solution provider AstroPay to launch local currency account deposits and withdrawals in Latin America.

Digital Assets

Crypto exchange FTX to raise $1 billion at flat valuation of $32 billion

FTX is reportedly in discussions with a clutch of heavyweights from traditional finance to raise up to $1 billion in fresh funding to fuel more deal-making.

Digital Assets

Revolut US launches trading on Avalanche, Solana, and Dogecoin

British fintech and banking firm Revolut has further expanded its cryptocurrency offering in the US with the addition of 29 new tokens.

Digital Assets

Bahrain greenlights eazyPay to launch Binance Pay

The Central Bank of Bahrain has blessed a new partnership inked by Binance with Eazy Financial Services ‘eazyPay’, a local POS and online payment service provider. The greenlight enables EazyPayto to launch Bitcoin and cryptocurrency payments in the region.

Digital Assets

Coinbase approved to offer crypto for Dutch users

Nasdaq-listed crypto exchange operator Coinbase has been handed regulatory approval to operate as a crypto service provider in the Netherlands.

Metaverse Gaming NFT

AC Milan partners with Solana-based NFT football game MonkeyLeague

“Partnering with champions like AC Milan, an absolute iconic Club throughout footballs history, is another testament to what we are building and where we are headed as a game and game studio. It also represents a key step in our plans to bridge the Web2 and Web3 worlds.”

Digital Assets

Shariah-compliant Islamic Coin to support SDG-compliant ventures, green projects, and philanthropy

Shariah-compliant Islamic Coin has recently launched a collaboration with the World Green Growth Organization and the International Youth Conference 6, taking place on September 22-25th and September 30th-October 1st, 2022, in New York. 

Market News

Week ahead: US core PCE and eurozone CPI 

We heard from a range of central banks last week and the update sparked big moves in the markets, and the bulk of the volatility was in currencies.

<