Global Economic Concern sees Currency Volumes Drop

Foreign-exchange volumes fell in the U.S., the U.K. and Singapore in October from six months earlier amid a slide in trading of the dollar against the yen and as concern a partial shutdown of the U.S. government would hamper the global economy pushed volatility to the lowest since 2012.

Average daily currency-market turnover in the U.S. was $816 billion in October, a 19 percent slide from April, the Foreign Exchange Committee reported in a twice-yearly survey. Volume in the U.K. declined to $2.23 trillion in October, a 12 percent decline from April, the Bank of England’s Foreign Exchange Joint Standing Committee said. Singapore currency trading fell 14.7 percent to $282 billion, the Singapore Foreign Exchange Market Committee reported.

The JPMorgan Chase & Co. Group of Seven Volatility Index fell to 7.51 percent on Oct. 24, the lowest since Dec. 20, 2012.

Bloomberg

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.