- Broad-based growth in derivatives volumes across equities, FX and commodities
- Singapore’s equities market outperforms most Southeast Asian peers
Singapore Exchange (SGX Group) today released its market statistics for April 2024. Derivatives volume across equities, foreign exchange (FX) and commodities rose 36% year-on-year (y-o-y) in April to 24.1 million contracts as trading activity grew, while derivatives daily average volume (DDAV) climbed 23% y-o-y to 1.2 million contracts. Securities daily average value (SDAV) gained 24% y-o-y to S$1.2 billion, outperforming most Southeast Asian markets.
Key highlights:
- Trusted venue for managing FX risk in key Asian economies: SGX INR/USD FX Futures traded volume jumped 98% y-o-y in April to 1.6 million contracts, the highest since November 2022. The volume of SGX USD/CNH FX Futures, the world’s most widely traded international renminbi futures contract, increased 90% y-o-y to 2.8 million contracts. Demand to manage risk on SGX FX rose as India headed into a general election and with institutional investors focused on China’s economic outlook. Total FX futures volume was up 95% y-o-y at 4.8 million contracts – a record high for a second consecutive month.
- Enabling investors to manage exposure to the global chip sector: SGX FTSE Taiwan Index Futures traded volume climbed 74% y-o-y in April to 1.9 million contracts, the highest since January 2021. A record single-day, non-roll volume of 146,994 lots (US$9.6 billion notional) was achieved on 19 April, as a cautious market outlook following TSMC’s earnings report drove risk-management activity. Total equity index futures volume on SGX Equity Derivatives was up 15% y-o-y at a three-month high of 13.2 million contracts.
- More financial hedging by physical commodity participants: Petrochemicals derivatives traded volume gained 78% y-o-y in April to 7,918 swaps and futures contracts, with equivalent tonnage totalling 2.04 million metric tonnes – a record high. Total traded volume on SGX Commodities, including benchmark iron ore and freight derivatives as well as SICOM rubber futures, was up 68% y-o-y at 5.6 million contracts.
- ETF turnover increase on interest rate expectations: The market turnover value of exchange-traded funds (ETF) surged 96% y-o-y in April to a two-year high of S$487 million, driven by real-estate investment trust (REIT) and gold ETFs amid uncertainties over the path for U.S. interest rates. Total turnover on SGX Securities was up 37% y-o-y at S$25.5 billion, the highest since March 2023. On 1 April, five more Singapore Depository Receipts (SDR) were launched under the Thailand-Singapore DR Linkage.
The full market statistics report can be found here.
