The currency trading at Moscow Exchange (MOEX) picked up momentum last month after several months of lackluster performance.
The upward movement is helped by a steady rise in volatility as well as a group effort to accept new businesses on the platform. However, the present volume is still far from its highest peak this year in March.
Global financial markets saw a particularly volatile period last month, as there were concerns about a second wave of the corona-virus pandemic rocking the slow economic recovery. Investors also gained a lot from the central bank stimulus measures. With these benefits, MOEX upped its numbers and maintained stronger trading volumes just like its rivals in the foreign exchange market.
Last month, the total market turnover for MOEX rose to RUB 29.9 trillion, which is an 11% increase from the previous month’s record of RUB 27 trillion.
When compared with trading volumes in September last year, the present figure has risen 19%. It’s big progress made, despite the unfavorable market conditions caused by the coronavirus pandemic. The MOEX is not the only exchange with an improved trading volume for the month. Other exchanges also recorded good turnovers, which is an indication that the market.
Volumes rebound at rivals
In a statement, MOEX revealed that last month’s average daily volume reached RUB 1.35 trillion (about ($17.8 billion), which is a 5.3% increase from the RUB 1.28 trillion recorded the previous month. But looking at the figures from last year to this year, there is a 14% increase, as the ADV figures were around RUB 1.93 trillion.
The turnover for September also included swap trades at RUB 20.8 trillion, as well as spot trades of RUB 9 trillion, which is a 61% increase from last year.
A lot of policy changes as well as a rise in volatility from multi-layer lows make it possible for FX trading on MOEX and other competitors to have a record start of the year.
Before the rise, MOED’s FX volume tried to recover from recent lows as it continues the development of its infrastructure, being part of a government-supported project to make the exchange one of the best and largest in the world.
FX bounced back after lackluster months
Based on recent data, about 1.8 million retail investors already have an account with MOEX within the first seven months of the year. Their activities generated over $16 billion in shares within the volatile trading month.
With the new figure, it seems the FX has bounced back after many months of lackluster inactivity.