NZX Dairy Futures today reached their second key milestone in passing 2,000 lots traded.
This milestone is significant because of the speed at which volume growth is occurring - where it took nine months to reach 1,000 lots traded, the second 1,000 lots has taken only eight weeks to register.
Trading activity has been particularly strong in July and August, especially in the Whole Milk Powder market.
There have also been new participants joining the market.
“Certainly the market is healthy and liquidity is rapidly developing, with an average of over 40% volume growth month on month since March of this year.
“While there is still a way to go to reach the super liquidity levels of globally traded commodities such as coffee and cocoa, it is a very strong start,” said NZX Derivatives Manager Kathryn Jaggard.
NZX would like to thank its clearing participants BNP Paribas and INTL FCStone, advising participant OMFinancial, and all the end-user clients who trade through them.