Saxo Bank has reported its worst monthly FX volume in almost 4 years. This time of year is particularly hard for brokers, and Saxo Bank proved no exception. Saxo Bank is a Danish investment bank that specializes in investment and online trading.
During November, the multi-asset broker posted a month-on-month drop across the board for foreign exchange (forex), commodities, fixed income, and equities trading volumes.
As reported by Finance Magnates, the largest volumes for the broker come from FX trading. The unit recorded a trading volume of $107.4 billion in November. Compared to the October number($141 billion), this was a decrease of almost 24%.
Surprisingly, the volume achieved in November was the lowest month-on-month figure for the entire 2019. The second lowest figure was in April ($124.3 billion), or around 14% higher than the one in November.
What is interesting to note is that the recent volume in November was the lowest one since 2016 (the beginning of it).
FX was not the only unit that saw dramatic decrease in trading volume. Commodities also experienced a significant drop on a month-on-month basis. It went from $33.7 billion in October to $32.1 billion in November (a fall of 4.7%). As reported by Finance Magnates, the daily volume was at $1.5 billion. However, although the month-on-month decrease of around 5% was notable, the same period last year recorded a volume that was 34% lower.
Both equities and fixed-income trading recorded drops in volumes in November. Fixed-income decreased with around 27%, standing at $8.4 billion. Average daily volume slumped from $500 million (October number) to $400 million in November 2019.
Equities volume dropped from $63 billion in October to around $44 billion in November, a drop of around 29%.