Dubai: “The Bay”
The Dubai Gold and Commodities Exchange (DGCX), the region’s largest derivatives exchange, announced that it recorded an average monthly open rate (MOO) of 116,929 contracts during the month of May. The portfolio of precious metal products on the exchange, in addition to contracts for the six major currencies, continued to lead trading activity on the exchange, and the exchange recorded transactions worth $ 12.72 billion in May.
Trading volume on both the gold futures contract and the Sharia-compatible spot gold contracts recorded strong YTD growth of 200% and 359%, respectively, compared to the previous year. In addition, trading volume on DGCX’s six major foreign exchange portfolios amounted to 28,963 contracts worth $ 1,460 million. The strongest performance of the currency contracts on the stock exchange was the share of futures contracts for the euro and the British pound, where the average daily trading volume recorded a huge annual growth of 1123 percent and 1125%, respectively.
Demand for Indian rupee-backed assets continued to grow in May, with trading volume of rupee option contracts on DGCX between 2022 and 23,205 worth $ 2.5 million.
Les Mel, CEO of the Dubai Gold and Commodities Exchange, said: “In May, market participants continued their pursuit of safe haven assets as well as the portfolio of six major currencies in the face of sustained inflation and market volatility. “Gold futures, EUR and GBP contracts. DGCX is well positioned to provide its members with an excellent ability to hedge against risk, and in this context we look forward to launching new products within the next month.”