Below is the commentary on the Foreign Exchange (FX) market with data for the week-ended June 10, 2022. The table following the commentary compares weekly turnover for trades between banks (FMDQ Dealing Member (Banks) [DMBs]/Authorised Dealers) and their clients for the weeks-ended June 3 & 10, 2022.

• In the FX Spot and Derivatives markets, the total turnover for the week-ended June 10, 2022, was $571.61 million, representing a decrease of 66.08% ($1,113.67 million) from $1,685.28 million reported for the week-ended June 3, 2022. The week-on-week (WoW) decrease in total turnover was driven by the 65.50% ($820.82 million) and 67.76% ($292.86 million) decreases in FX Spot and FX Derivatives turnovers, respectively. (See Table 1 below)

• The WoW decrease in FX Derivatives turnover was jointly driven by the 4.14% ($3.59 million) and 83.73% ($289.27 million) decreases in FX Forwards and FX Futures turnovers, respectively

• In the FX Spot market, the total value of transactions for the week-ended June 10, 2022, was $432.24 million, representing a decrease of 65.50% ($820.82 million) from the value of transactions executed in the week-ended June 3, 2022 ($1,253.06 million)

     Table 1: Weekly FX Turnover Analysis 

• In the FX Futures market, $56.22 million worth of FX Futures contracts were traded in twelve (12) deals, representing a WoW decrease of 83.73% ($289.27 million) when compared to the $345.49 million FX Futures contracts traded in twenty-five (25) deals recorded in the week-ended June 3, 2022 

Table 2: Weekly FX Rate Analysis