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DGCX to Launch Base Metals Product Suite

DGCX to Launch Base Metals Product Suite

  • Aluminum and Zinc Futures contracts will be listed to satisfy investor appetite

The Dubai Gold & Commodities Exchange (DGCX) and Dubai Commodities Clearing Corporation (DCCC) today announced an expansion to their existing portfolio of metals products with the launch of new base metal products. The two new products, Aluminium Futures and Zinc Futures, will go live on Friday 22nd March, 2019.

The new products will provide investors with an opportunity to mitigate the risks involved in the base metal markets, and appeal to global participants by enabling them to hedge prices efficiently. The size of each Aluminium Futures and Zinc Futures contract will be 5 metric tons (MT), denominated and traded in US dollars.

Les Male, CEO of DGCX, commented: “We are excited to introduce new products to meet the ever-growing needs of our member community. The imminent launch of these two products is a response to growing demands and investor feedback, and will play an important role in the DGCX Group’s growth strategy moving forward. We are confident that they will further strengthen our value proposition to all participants across the non-ferrous metals supply chain, while complementing our existing portfolio of diverse products.”

The new products will be cash settled in US Dollars, and EFS, EFP and Block trading will be permissible in the contracts.

“All trades in the new contracts will be cleared by our wholly-owned and regulated clearing house, the Dubai Commodities Clearing Corporation (DCCC). The DCCC is recognized by ESMA as a Third-Country Central Counter Party and has rightfully earned itself a credible reputation acting as a guarantor to all trades executed on the DGCX,” Male added.

Trading Activity in February 2019

The DGCX traded over 1.62 million contracts in February, valued at USD 31.1 billion. DGCX’s currency portfolio saw robust trading activity throughout February. Euro Futures and Rupee Mini Futures recorded their highest monthly Average Open Interest (AOI) of 2,919 and 119,173 contracts respectively. Open Interest is defined as the number of contracts outstanding in derivatives (such as futures and options) trading at any time on a market and is a definitive measure of a product’s and wider exchanges success.

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About DGCX: Established in 2005, DGCX is the region’s leading derivatives exchange and the only one allowing global participants to trade, clear and settle transactions within the Gulf region. The Exchange has played a pioneering role in developing the regional market for derivatives and financial infrastructure. DGCX is an electronic commodity and currency derivatives exchange with over 175 members from across the globe, offering futures and options contracts covering the precious metals, energy, equities and currency sectors. DGCX is a subsidiary of DMCC (Dubai Multi Commodities Centre), a Dubai Government Authority for trade, enterprise and commodities. For more information: www.dgcx.ae DGCX also owns and operates the region’s largest and only multi-asset Clearing House – Dubai Commodities Clearing Corporation (DCCC). DCCC is federally regulated by the Securities & Commodities Authority (SCA) and is recognized as a Third-Country CCP by European Securities Markets Authority (ESMA) with over 60 clearers from across the globe. For more information: www.dccc.co.ae  

Further Information:

Jonathan Fisher

Weber Shandwick PR

Tel: +971 (0) 4 445 4222

Email: JFisher@webershandwick.com

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DGCX Starts 2019 Strongly Amidst Continued Global Volatility

DGCX Starts 2019 Strongly Amidst Continued Global Volatility

The Dubai Gold & Commodities Exchange (DGCX) has had its best start to a year on the back of continued global volatility, trading a total of 1.93 million contracts in January with a value of USD 38.09 billion, beating its previous best January recorded in 2018.

DGCX’s trading activity last month was boosted by a series of significant political events, including the ongoing partial US government shutdown, and heightened trade tensions between the US and China. Various comments made by OPEC in relation to oil production cuts also caused financial market volatility, bolstering the performance of DGCX’s hydrocarbons portfolio, which last month saw Brent Crude Oil Futures and West Texas Intermediary (WTI) Futures record Y-O-Y growth of 61% and 113% respectively.

Les Male, CEO of DGCX, commented: “After an incredibly strong 2018, we have made a very promising start to the year against a volatile backdrop, which saw financial markets, across various asset classes hit recent lows on Christmas Eve, and then rally into the New Year and beyond. The performance of our hydrocarbons products was particularly of note, as well as our Indian Rupee Futures contracts.

DGCX’s Indian Rupee Quanto Future, the index pricing of the Indian Rupee US Dollar currency pair, traded 410,504 contracts and registered Y-O-Y volume growth of 85%, further underpinning the Exchange’s strong start to the year.

“With many major political developments and further instability on the horizon, global markets are likely to continue experiencing sharp bouts of volatility throughout 2019. In light of this, we expect increased demand for derivative products for hedging and investment purposes and we are confident that DGCX will continue to play an increasingly important role for investors within the region,” Male added.

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About DGCX: Established in 2005, DGCX is the region’s leading derivatives exchange and the only one allowing global participants to trade, clear and settle transactions within the Gulf region. The Exchange has played a pioneering role in developing the regional market for derivatives and financial infrastructure. DGCX is an electronic commodity and currency derivatives exchange with over 175 members from across the globe, offering futures and options contracts covering the precious metals, energy, equities and currency sectors. DGCX is a subsidiary of DMCC (Dubai Multi Commodities Centre), a Dubai Government Authority for trade, enterprise and commodities. For more information: www.dgcx.ae DGCX also owns and operates the region’s largest and only multi-asset Clearing House – Dubai Commodities Clearing Corporation (DCCC). DCCC is federally regulated by the Securities & Commodities Authority (SCA) and is recognized as a Third-Country CCP by European Securities Markets Authority (ESMA) with over 60 clearers from across the globe. For more information: www.dccc.co.ae  

Further Information:

Jonathan Fisher

Weber Shandwick PR

Tel: +971 (0) 4 445 4222

Email: JFisher@webershandwick.com

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DGCX Breaks Annual Volumes Record to Round-Off an Exceptional Year

DGCX Breaks Annual Volumes Record to Round-Off an Exceptional Year

2018 Volume Highlights

  • Total volume traded in 2018 – 22,260,136 lots
  • Total value traded in 2018 – USD 475 billion
  • Highest daily volume of 2018 – 13th August 2018, 185,630 lots
  • Highest trading month of 2018 – May, 2,163,598 lots
  • Best performing asset class/product of 2018 – Indian Rupee, up 25%
 

The Dubai Gold & Commodities Exchange (DGCX) announced today that it has rounded off a highly successful 2018 by breaking its annual volumes record, trading 22.26 million contracts, up 28% from the previous year. The total value of the contracts was USD 474.94 billion, beating its previous highest value of USD 448 billion traded in 2013. Average Daily Volumes (ADV) also finished the year at an all-time high, reaching 86,615 lots.

The Exchange achieved a strong start to 2018, recording 5,541,732 lots traded in Q1, valued at USD 129 billion. Building on this momentum, in May, reported its best month since inception, recording its highest monthly volume with 2,163,598 contracts traded, valued at USD 46.1 billion. With the Exchanges best quarter coming in Q3 with 5,863,276 lots traded.

In March, the Exchange launched the GCC’s first and the world’s only exchange-traded Shari’ah Compliant Spot Gold contract (DGSG). The Exchange also introduced new cutting-edge technology, upgrading its trading and clearing solution from Cinnober to an enhanced version of the TRADExpress platform, streamlining its business development capabilities and improving bandwidth usage and latency performance.

Les Male, CEO of DGCX, commented: “Throughout the year, the DGCX has achieved spectacular growth and broken numerous records, consistently demonstrating why it is the leading derivatives exchange in the Middle East. While geopolitical uncertainty and other factors beyond our control have contributed to our remarkable performance, it has been our hard work and efforts from within that have had the largest bearing on our success.

“Our mandate in 2018 was to widen investor participation and enhance liquidity. We have done this by strengthening our capabilities and diversifying our product range, offering investors access to a wide range of products on a robust, fully regulated and secure platform, whilst continuing to hold innovation at the core of what we do.”

The best performing asset classes in 2018 were the Indian Rupee (INR) product suite and the G6 Currency futures. INR volumes increased by 25% from 2017, driven mainly by increasing hedging appetite in volatile markets, while volumes in G6 futures grew 9% to reach 595,491 contracts.

“It was a particularly busy year for INR trading as the Indian Rupee touched record lows, with investors seeking safety in the USD in response to global economic and political headwinds. While the foreign exchange market as a whole witnessed volatility on the back of global trade discussions, changing market dynamics and developments across the UK, USA and Europe pushed our G6 currency portfolio to all-time highs,” added Male.

The Exchange closed the year by being named ‘EMEA Exchange of the Year’ for the first time at the Future & Options World (FOW) Global Investor Awards 2018 held in London. For the second consecutive year, it also picked up the ‘Exchange of the Year’ accolade at the prestigious Global Investor MENA Awards 2018.

“We are well-positioned for further growth in 2019 and have a considerable pipeline already. We will be launching new contracts and services over the next year that will appeal to both our international and local participants” concluded Male.

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About DGCX: Established in 2005, DGCX is the region’s leading derivatives exchange and the only one allowing global participants to trade, clear and settle transactions within the Gulf region. The Exchange has played a pioneering role in developing the regional market for derivatives and financial infrastructure. DGCX is an electronic commodity and currency derivatives exchange with over 175 members from across the globe, offering futures and options contracts covering the precious metals, energy, equities and currency sectors. DGCX is a subsidiary of DMCC (Dubai Multi Commodities Centre), a Dubai Government Authority for trade, enterprise and commodities. For more information: www.dgcx.ae

DGCX also owns and operates the region’s largest and only multi-asset Clearing House – Dubai Commodities Clearing Corporation (DCCC). DCCC is federally regulated by the Securities & Commodities Authority (SCA) and is recognized as a Third-Country CCP by European Securities Markets Authority (ESMA) with over 80 clearers from across the globe. For more information: www.dccc.co.ae

 

Further Information:

Jonathan Fisher

Weber Shandwick PR

Tel: +971 (0) 4 445 4222

Email: JFisher@webershandwick.com

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DGCX and FXCM Group Sign MoU to Collaborate on new FX Products

DGCX and FXCM Group Sign MoU to Collaborate on new FX Products

(L-R) Mario Sanchez, Managing Director, and Les Male, Chief Executive Officer of DGCX(L-R) Mario Sanchez, Managing Director, and Les Male, Chief Executive Officer of DGCX

 

The Dubai Gold and Commodities Exchange (DGCX) and FXCM Group, LLC (FXCM Group or FXCM), a leading international provider of online foreign exchange trading, CFD trading, bitcoin and related services, today announced the signing of a Memorandum of Understanding (MoU), agreeing to collaborate on launching new and innovative FX products on the DGCX.

Les Male, Chief Executive Officer of DGCX, stated: “It is our aim to ensure that we continue to offer our members and market participants truly innovative contracts, backed by our state of the art technology and Clearing House. These contracts must appeal to not only our international participants but also to local banks and trading houses too. This MOU with FXCM is the first step in developing ever more pioneering contracts contributing to the DGCX’s global offerings allowing us to cross-pollinate each other’s diverse client base.”

Siju Daniel, Chief Commercial Officer of FXCM Group noted: “This partnership will expand both companies’ footprint in this region and will allow its members to experience the many benefits of trading with DGCX. With FXCM’s long history and expertise as one of the world’s leading FX and CFD brokers, working alongside Dubai’s first commodity derivatives exchange, we know that we can create new innovative product offerings and are enthusiastic on the many possibilities. We look forward to sharing them with the market in the future.”

Les Male, CEO of DGCX, signed the agreement at the FXCM Group headquarters in London on Monday, December 17th with Mario Sanchez, Managing Director and Global Head of FXCM Pro Sales.

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About DGCX: Established in 2005, DGCX is the region’s leading derivatives exchange and the only one allowing global participants to trade, clear and settle transactions within the Gulf region. The Exchange has played a pioneering role in developing the regional market for derivatives and financial infrastructure. DGCX is an electronic commodity and currency derivatives exchange with over 175 members from across the globe, offering futures and options contracts covering the precious metals, energy, equities and currency sectors. DGCX is a subsidiary of DMCC (Dubai Multi Commodities Centre), a Dubai Government Authority for trade, enterprise and commodities. For more information: www.dgcx.ae

DGCX also owns and operates the region’s largest and only multi-asset Clearing House – Dubai Commodities Clearing Corporation (DCCC). DCCC is federally regulated by the Securities & Commodities Authority (SCA) and is recognized as a Third-Country CCP by European Securities Markets Authority (ESMA) with over 80 clearers from across the globe. For more information: www.dccc.co.ae

 

Further Information:

Jonathan Fisher

Weber Shandwick PR

Tel: +971 (0) 4 445 4222

Email: JFisher@webershandwick.com

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DGCX and IBMC Financial Professionals Group to hold first UAE Africa Gold Convention

DGCX and IBMC Financial Professionals Group to hold first UAE Africa Gold Convention

UAE-Africa-Gold-Convention-Launch
  • The event launched under the leadership of His Excellency Sheikh Khalid Bin Ahmed Al Hamed
  • Convention will bring together business communities between UAE and Africa to strengthen trading and investment opportunities

Dubai Gold and Commodities Exchange (DGCX) and IBMC Financial Professionals Group (IBMC) announce today that they will jointly hold the first UAE Africa Gold Convention on 8 January 2019. The one-day event will bring together a wide range of industry participants at the Armani Hotel, Burj Khalifa, Dubai, including importers and exporters, refiners, miners, vault operators, exchanges and regulators, with the aim of connecting the business communities between the United Arab Emirates and Africa.

His Excellency Sheikh Khalid Bin Ahmed Al Hamed, Chairman of IBMC, UAE; Les Male, CEO, DGCX; and Sajith Kumar P K, CEO & Managing Director, IBMC Global Network, officially announced the event today at a signing ceremony in Al Bateen Palace Majilis, Abu Dhabi. It was revealed that the convention will cover all major gold-related activities including imports, transportation, refining, storage, retail, and trading. Post-event activities will also take place to help African entities establish their businesses in the UAE.

His Excellency Sheikh Khalid Bin Ahmed Al Hamed, Chairman of IBMC, UAE, said:“The UAE and Africa have enjoyed a healthy business relationship for decades, so we are delighted to further strengthen these ties with the launch of UAE AFRICA Gold Convention 2019. The gold industry presents many trade and investment opportunities, and this inaugural event will support its growth by bringing industry players together to explore partnerships and facilitate cooperation between businesses and investors on both sides.”

Les Male, CEO of DGCX, commented: “The UAE Africa Gold Convention 2019 will showcase the entire gamut of gold trade and business activities across the UAE and wider region, with a particular focus on how the industry is being diversified. With expected industry-wide participation, the convention will act as a catalyst to trigger discussion on potential joint venture opportunities, and promote the UAE as a corridor to other markets and an attractive business hub for companies across the African continent.”

Sajith Kumar P K, CEO & Managing Director, IBMC Global Network, said: “Considering the major growth-oriented projects in the UAE and Africa, including Expo 2020, the UAE Africa Gold Convention comes at an excellent time, and will be highly supportive of the global business community targeting opportunities within the gold industry.”

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About DGCX: Established in 2005, DGCX is the region’s leading derivatives exchange and the only one allowing global participants to trade, clear and settle transactions within the Gulf region. The Exchange has played a pioneering role in developing the regional market for derivatives and financial infrastructure. DGCX is an electronic commodity and currency derivatives exchange with over 175 members from across the globe, offering futures and options contracts covering the precious metals, energy, equities and currency sectors. DGCX is a subsidiary of DMCC (Dubai Multi Commodities Centre), a Dubai Government Authority for trade, enterprise and commodities. For more information: www.dgcx.ae

DGCX also owns and operates the region’s largest and only multi-asset Clearing House – Dubai Commodities Clearing Corporation (DCCC). DCCC is federally regulated by the Securities & Commodities Authority (SCA) and is recognized as a Third-Country CCP by European Securities Markets Authority (ESMA) with over 80 clearers from across the globe. For more information: www.dccc.co.ae

 

Further Information:

Jonathan Fisher

Weber Shandwick PR

Tel: +971 (0) 4 445 4222

Email: JFisher@webershandwick.com

Continue Reading