Dubai Gold & Commodity Exchange year to date volume up 40% 

(MENAFN - Khaleej Times) Dubai Gold & Commodity Exchange (DGCX) on Wednesday announced a 40 per cent growth in year-to-date volume, reaching 1,070,914 contracts, valued at $ 54.1 billion.

The strong growth to date in 2008 is underlined by the exchange's strategic mix of products, said Malcolm Wall Morris, Chief Executive Officer, DGCX. "During the year, the Exchange not only initiated steps to expand its portfolio, but also reviewed existing contracts in response to customer's feedback."

Wall Morris added that the uncertain global financial markets and the 'credit crunch' have demonstrated the important role of an exchange and clearing house in bringing transparency to derivatives markets and reducing credit risk. Transacting business via DGCX and DCCC - the Dubai Commodities Clearing Corporation, a wholly owned subsidiary of DGCX, enables market participants to reduce their operational and counterparty risk.

In addition, DGCX provides market participants with effective tools to manage price risk in the key segments of currencies, precious metals, energy, currencies and base metals. This is especially significant during the current period of high volatility, he added.

Among precious metals, volumes for gold options recorded the highest YTD growth, up 108 per cent to 2,873 contracts. Gold and silver futures reflected a YTD rise of 27 per cent and 14 per cent respectively.

In currencies, the Euro accounted for major growth, climbing 237 per cent over the corresponding period last year. Average Daily Volume for the period was up by 42 per cent at 5,051 contracts.