FMDQ Securities Exchange Posts ₦11.78 trillion Turnover in May
FMDQ Securities Exchange has posted a revenue of ₦11.78 trillion in fixed income and currency (FIC) markets in May, 2020.
This is contained in a monthly FIC report obtained from FMDQ on Wednesday by the news agency.
The report showed that the turnover represented a decrease of 29.46 %, when compared with ₦16.70 trillion in April.
FMDQ said that the turnover recorded in the FIC markets in May 2020, was the lowest turnover recorded since January 2018 at ₦11.71 trillion.
Money market comprising repurchase agreements and unsecured placements transactions and open market operations bills drove the total market.
It accounted for 61.26 % of the total revenue.
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According to the report, money market transactions replaced foreign exchange (FX) as the highest contributor to FIC markets turnover in May during the review period.
It noted that FX market income in May 2020 was 7.62 billion dollars or ₦2.94 trillion.
This represents a decrease of 32.92 % or 3.74 billion dollars from 11.36 billion dollars or ₦4.38 trillion posted in April.
An analysis of FX market income indicated a general decrease in FX market activity by trade type,
…with Member-Client trades accounting for 55.61 % ($2.08 billion) of the total MoM decrease in FX turnover.
However, FX Derivatives accounted for 89.30 % ($3.34 billion) of the total MoM decrease in FX trading by product type in May 2020.
Takings for Member-CBN FX Spot trades increased by 100% MoM from 0.16 billion dollars in April to 0.32 billion dollars in May.
In May, the Naira depreciated against the USD at the Investors’ and Exporters’ FX Window by ₦1.18 to close at an average of ₦386.17.
Also, in the parallel market, the naira depreciated against the U.S dollar by ₦22.37 to close at an average of ₦450 during the review period.
FMDQ Securities Exchange posts ₦11.78 trillion
