GMO Click FX Volumes Fall 7.5% MoM as Trading Slowed in August

GMO Click, which is a Japanese retail brokerage giant, published the monthly metrics of trading activities for August, reporting a decline in the forex volumes. This was a cyclical dip in trading activities globally due to the summer holidays.

According to the official numbers, 82.1 trillion yen worth of foreign exchange was traded last month on FX Neo, the spot forex trading platform of the broker. The figure slipped 7.5 percent when compared with the previous month’s trading volume of 88.8 billion yen.

On a yearly basis, the plunge is more significant as it declined from 120.3 trillion yen in volumes recorded in August last year. Trading on GMO peaked last year after the volatility was triggered by the impact of Covid-induced lockdowns across the world. Though the activities peaked in March 2020, the volumes in consecutive months also remained significantly higher before correcting heavily in 2021.

Despite the dip, August volumes remain higher than the reported figures for June, when saw the lowest activities since the March peak.

The Japanese broker added 3,348‬ new FX Neo accounts last month, taking the total number of accounts at 723,802.

A Declining Trend

Demand on the daily FX futures exchange, Click 365, also remained on the lower side when compared month-over-month, but demand climbed by more than 25.2 percent when compared year-over-year. It closed the month with 620,259 Click 365 accounts.

Unlike forex, the demand for stocks last month surged by 3.7 percent when compared to the previous month, but declined from August 2020.

As Finance Magnates reported recently, other Japanese and global forex exchanges also reported the expected decline in their August volumes. Tokyo Financial Exchange (TFX) reported an 11.2 percent monthly dip in FX derivatives trading, while FXSpotStream witnessed a 15.97 percent decline.

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