October 12, 2021

SGX securities turnover value up 11% to $27 billion in September

By ellen

SINGAPORE (THE BUSINESS TIMES) – Total securities market turnover value on the Singapore Exchange (SGX) rose 11 per cent year on year to $27 billion in September, the highest in four months, while the securities daily average value was also up 11 per cent at $1.2 billion.

Exchange-traded funds continued to outperform, with market turnover value gaining 17 per cent year on year to $379 million, while turnover of structured warrants and daily leverage certificates surged 50 per cent to $683 million, SGX said in its monthly statistics report on Tuesday (Oct 12).

SGX said concern over heightened regulatory risks in China had spurred volume gains in its suite of China-access products.

September’s traded volume of the SGX FTSE China A50 index futures was up 20 per cent from a year ago to 9.3 million contracts, the highest since March 2021. The SGX USD/CNH futures also climbed 15 per cent to 921,663 contracts.

The bourse operator also noted that supply chain bottlenecks in commodity markets fuelled derivative hedging in both cargo and freight.

Forward freight agreement traded volume in September rose 19 per cent from the previous month to 191,716 contracts on the back of higher rates for shipping iron ore and coal, while petrochemicals volume climbed 29 per cent month on month to 4,401 contracts amid an uplift in consumer demand.

Total derivative traded volume rose 4 per cent year on year in September to 21.1 million contracts, of which equity index futures gained 1 per cent to 15.6 million contracts, foreign exchange futures rose 3 per cent to 2.3 million contracts and commodity derivatives jumped 17 per cent to 2.5 million contracts.

SGX added that the gradual reopening of the Indian economy had buoyed sentiment in equities, while elevated oil prices drove currency hedging.

Traded volume of the SGX Nifty 50 index futures in September increased 9 per cent from the previous month to 2.1 million contracts, and the SGX INR/USD futures rose 17 per cent month on month to 1.3 million contracts.

Meanwhile, the SGX MSCI Singapore index futures in September climbed 4 per cent from the previous month to 1.2 million contracts, while the SGX Nikkei 225 index futures gained 72 per cent month on month to 1.5 million contracts.

Shares of SGX were trading up one cent, or 0.1 per cent, at $9.48 as at 9.37am on Tuesday.