Exchange-traded FX futures worth $0.8m executed in first week – FMDQ
Exchange-traded FX futures contracts worth $0.8 million were executed this week following the start of the FMDQ exchange-traded derivatives market.
The FMDQ ETD market went live on Wednesday with the introduction of two products – the FMDQ FGN Bond Futures and Naira-Settled Exchange-Traded FX Futures, which are listed for trading and cleared by FMDQ Securities Exchange Limited and FMDQ Clear Limited, respectively.
“For the maiden week-ended July 14, 2023, $0.80 million worth of exchange-traded FX futures contracts were executed in eight deals,” the FMDQ Group said in a report on Saturday.
It said there were no trades executed in the extant OTC FX Futures market this week.
The total turnover in the FX spot and derivatives markets was $393.52 million, a decrease of 9.97 percent from $437.10 million last week.
The decrease in total turnover was driven by the decrease in FX spot turnover, offsetting the 30.17 percent ($2.73 million) increase in FX derivatives turnover, according to the report.
It said the increase in FX derivatives turnover was driven by the 21.33 percent ($1.93 million) increase in FX forwards turnover and the exchange-traded FX futures turnover.
The total value of transactions in the FX spot market dropped 10.82 percent to $381.74 million from $428.05 million last week.
“For the week ended July 14, 2023, the average Nigerian Autonomous Foreign Exchange Fixing rate was $/₦770.33, compared to $/₦762.39 recorded in the week ended July 7, 2023, representing a depreciation of the Naira against the United States (US) Dollar by 1.03% ($/₦7.94),” FMDQ said.