Maintaining its strong growth curve, Dubai Gold and Commodities Exchange (DGCX) reported a robust 66% growth in trading volumes in February 2008, marked by high activity across metals and currencies. Bolstered by a fresh wave of demand, the total volume traded on the exchange in February soared to 117,442 from 70,588 in the same period last year. The total value of transactions in February was $4.58 billion, up 122.23% YoY from $2.06 billion.
Commenting on the stimulating pace of trading in February, Malcolm Wall Morris, chief executive officer (CEO), DGCX said, ?The exchange has charted a strong course for the second consecutive month, reflecting growing favour among investors for the exchange. Trading in February proved to be exceptional as the entire commodity spectrum attracted high interest.?
The average daily volume in February rose 58.46% to 5,592 contracts from 3,529 contracts in the corresponding previous period. ?February trade indicates an increasingly diverse portfolio of DGCX, with gold contributing 81.93% to the total volume as compared to 86.46% in 2007. Transactions in Sterling, which is the second largest contract traded, accounted for 10.13% of February volumes, up from 7.89% in 2007,? Nishat Bandali, chief marketing officer of DGCX said.
February saw a new wave of interest in buying gold as investors considered it a safe haven amid rising inflationary concerns. The greenback deteriorated among major rivals, led by lower-than-expected manufacturing and inflation data and concerns about further cut in interest rates by the US Federal Reserve.
DGCX also reported record transactions in January 2008, with trading volumes surging by 95%. The total value of contracts traded in January stood at just over $4.3 billion, up 130% year-on-year from $1.9 billion.