Saxo Bank Trading Volumes Drop
November has been one of the hardest months for the forex markets in the last three years. Multiple firms have reported a significant drop in trading volumes, including Saxo Bank. They now join the list of growing multi-asset brokers that have lost substantial funds over the last several weeks. This comes as a surprise to many as Saxo Bank provides Forex Trading, Commodities, Equity Trading Volumes, and Fixed Incomes. However, it’s FX Trading that accounts for their most significant volumes of activity. Through October, Saxo Bank saw more than $141 billion traded amongst its clients. That number dropped to $107.4 billion, which is a drop of 24%.
This marks their lowest figure for the year, with some arguing that it’s the result of the holiday seasons worldwide or become traders are preparing themselves for the 2020 year. However, analysts are debating that Saxo Bank saw similar drops in April, where their volumes plummeted to 124.3 billion. This banking institution isn’t the only affected by the holiday season and upcoming trading year, with December 2019 marking the lowest amounts since 2016. It’s estimated that the entire market dropped by 37.4% this month.
Commodities, Fixed Income & Equities
All multi-asset brokerages saw every trading platform affected by the volumes throughout November. This applies to the commodities sector maintained by Saxo Bank, which dropped by the low figure of 4.7%. Throughout October, more than $33 billion was earned by Saxo Bank with their commodities trading. That fell to $32 billion throughout November, with day-to-day volumes at $1.5 billion.
The Fixed-Income Trading Platform maintained by Saxo Bank saw significant drops at 27% for November, earning $8.4 billion. Daily trading volumes dropped by $100 million from October to November. The final sector that saw significant drops in trading volumes was the Equities Platform, which earned $62.8 billion throughout October. However, this figure dropped to $44.7 billion for November. Subsequently, their Equities Sector saw a 28.8% decline in trading activity. Most analysts agree that the percentages seen throughout December will resemble those in November, or potentially be lower. Those same analysts also expect figures to return to average trading volumes by January 2020.