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$71.3 billion in Dubai gold and commodities trade in first half



$71.3 billion in Dubai gold and commodities trade in first half

In the first half of the year, the Dubai Gold and Commodities Exchange, the Middle East’s largest and most diversified financial derivatives exchange, recorded significant trading activity as 3.5 million contracts worth $71.3 billion were traded.

In an interview with Al-Bayan, Louis Hyams, Commercial Director of the Dubai Gold and Commodities Exchange, said the main drivers of this strong performance were the range of Indian rupee products we offer, as it contributed to the majority of trades with 23. million contracts worth $57.6 billion.

The Dubai Gold and Commodities Exchange, as the largest and most diversified financial derivatives exchange in the region, has succeeded in establishing the emirate’s position as a global hub for commodity trading, and we have succeeded in attracting investors from all over, Hemis said. A world that uses our platform to trade and hedge against risks, the stock market has attracted 93 investors to date. 15 of them are foreigners.

He said the strategic location of Dubai Emirate at the crossroads between East and West allows the stock market to play a decisive role in bridging the gap between the two time zones and allowing investors to trade at the best time when the markets are in the East. and West is closed.

The text of the interview reads:

What was the total number of contracts traded on the Dubai Gold and Commodities Exchange in the first half and their value?

The stock market registered significant activity with 3.5 million contracts traded worth $71.3 billion. The primary drivers of this strong performance were our Indian rupee product portfolio, which contributed the majority of trades with 23 million contracts valued at $57.6 billion. Our futures contracts for six major currencies also contributed to the increase in trading activity, with 168,000 contracts traded worth $8.8 billion, followed by our gold futures contracts, with 76,000 contracts traded worth $4.8 billion.

Our product portfolio’s focus on currencies and gold futures contracts is in line with current global market dynamics as investors seek effective hedging opportunities to mitigate potential risks amid increasing uncertainty in key markets.

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Apart from the above, the growing importance of the Indian rupee group also reflects the strength of trade relations between the UAE and India, which has been strengthened by the recently signed Comprehensive Economic Partnership Agreement between the two countries as bilateral trade between the two countries. From April 2022 to last March, India grew by 16% to reach $84.5 billion.


What is your assessment of the overall performance of the stock market in the first half?

We are happy with the general level of trade activity and work closely with our members to introduce new features to the market and remove barriers that hinder trade movement. One of our recent efforts in this direction is to waive fees for some of our products. Trade contracts in the market.


What is the share of gold futures contracts in total contracts traded in terms of number and value?

Gold futures contracts have played an important role in protecting investors against price fluctuations by providing a safe and regulated trading environment, especially in light of the high inflationary environment experienced by the global economy.

As a result, the gold futures contract makes up the majority of gold contracts traded on the Dubai Gold and Commodities Exchange. In the first half of 2023, gold futures contracts saw 76,000 contracts with a total value of $4.8 billion.

What is the status of Dubai gold and commodity exchange in the region and globally?

Dubai has long established itself as a major player in international trade, and the establishment of the Dubai Gold and Commodities Exchange is a natural development in the emirate’s journey to attract global investors to the region.

As a subsidiary of DMCC, our strategic focus is on improving the flow of goods trade by providing a comprehensive range of physical, market and financial infrastructure and services across the emirate. Since our founding in 2005, we have remained committed to our message and the mission entrusted to us.

Currently, the Dubai Gold and Commodity Exchange is the most comprehensive and diversified financial derivatives exchange in the Middle East, as our strategic location at the crossroads between East and West allows us to play a decisive role in bridging the gap between exchanges. Two time zones and allows investors to trade at the best times… Eastern and Western markets are closed.

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Since starting our journey in 2005, we have developed a wide variety of products designed to meet the changing needs of our investors, including currency derivatives, such as a range of Indian Rupee products and futures contracts on six major currencies. A range of futures contracts for gold, silver, copper and other metals.

Fee Exemption

What is the total volume and value of Shariah-compliant spot gold contracts since inception in 2018 to date? Will the fee waiver offer increase interest and demand for them?

Since its launch, the Shariah-compliant spot gold contract has received significant interest from investors seeking to invest in Shariah-compliant products for hedging and trading purposes.

The first of its kind in our region, this product has achieved exceptional demand since its launch in 2018, as nearly 3,000 contracts were traded with a total value of $154 million. In the first half of the year, we saw 284 trades. The contracts have a total value of $17.4 million dollars.

The significant global growth of the fee-free and Islamic finance sector, which is worth $3 trillion today and is expected to grow by around 10% between 2023 and 2024, has increased the demand for compliant spot gold contracts with Sharia law.


What are the most traded currencies on the Dubai Gold and Commodities Exchange and why?

Our exchange offers a variety of currency products that have received great interest from investors, including futures contracts for six major currencies, providing a safe and regulated environment for investors to hedge against risks. and macroeconomic dynamics.

Our Indian Rupee Futures range has emerged as the most traded currency on the Dubai Gold and Commodities Exchange and these products include Indian Rupee Futures, Quanto Futures and Mini Futures.

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In the first half of this year, the Indian Rupee Contracts Group saw trading of 3.2 billion contracts. This interest in our Indian Rupee Product Group is primarily driven by the large Indian community in the UAE, which has over 83,000 Indian companies. In the country, 11 thousand new companies have been registered in 2022 alone.

As companies seek to hedge the risks of currency fluctuations in their transactions, the large Indian business community in the region is expected to continue to contribute to increasing interest in Indian rupee futures contracts. Also, as I mentioned earlier, trade and investment relations between the two countries are growing, which is our Indian rupee. Increases the attractiveness of future products.


What are the most important products that the stock market wants to add in the near future?

Dubai Gold and Commodities Exchange seeks to continuously improve and diversify its product range to meet the evolving needs of its members and traders. We are constantly working to introduce new contracts to the exchange and expand the metals asset class by adding silver contracts. Complies with the rules of Islamic Shariah and is currently subject to the approval of the Securities and Commodities Commission. This deal will provide investors with a reliable and transparent platform for silver trading, and we seek to replicate the success we achieved with the Shariah-compliant spot gold deal.


What is the percentage of foreign or international investors in the stock market?

As the largest and most diversified financial derivatives exchange in the region, Dubai Gold and Commodities Exchange has succeeded in positioning itself as the Emirate’s global trading hub, and in light of the unique and diverse product range we offer, we have succeeded in attracting investors from around the world who use our platform to trade and hedge, share The market attracted 93 investors, including 15 from outside the country.

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Russia uses Indian and Chinese tankers and violates “price ceiling” sanctions



Russia uses Indian and Chinese tankers and violates “price ceiling” sanctions

Russia uses Indian and Chinese tankers and violates “price ceiling” sanctions

Western reports on Monday expected Russia to achieve higher revenues from oil exports this year despite higher price ceilings imposed on it by the Group of Seven and the European Union in response to its invasion of Ukraine.

An analysis of shipping data cited by the Financial Times today shows that Russia now ships three-quarters of its oil abroad without Western insurance, one of the tools used by the G7 and the EU to impose a cap above $60 a barrel. .

Prices are rising, the report says, and Russian crude oil is no exception. Urals crude is currently trading at approximately $79 per barrel, while Aspo crude, a Far East blend, is trading at more than $88 per barrel.

This spring, the Financial Times cited data from the US firm Kpler which noted that Russia transports half of its oil exports without Western insurance, indicating that “Moscow has become more adept at avoiding price ceiling sanctions imposed by the G7”. on energy.

These high prices for Russian raw materials come amid repeated assurances from the US Treasury that the maximum price ceiling “worked as intended”.

US Treasury Undersecretary Wally Adeyemo said last June: “In just six months, the maximum price ceiling for Russian raw materials has contributed to a significant decline in Russian revenues, and contributed to a major turning point in the war.”

Last August, US Assistant Secretary for Economic Policy Eric Van Nostrand said he was “confident that the price ceiling achieves the dual goals of curbing Russian revenues and helping to stabilize energy markets.”

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The Financial Times newspaper cited the Kiev School of Economics as estimating that this year, Russia’s revenue from oil exports will rise by $15 billion due to the breach of price ceilings set by the Group of Seven and the European Union.

Critics of the price ceiling have argued from the outset that implementing it would be challenging for Western countries and relatively easy for Russian companies to avoid.

In fact, Russian, Chinese, and Indian insurance companies intervened in the transport of Russian oil instead of large Western insurance companies, and what the media called the “dark fleet” tankers were built to ship Russian crude around the world without the participation of Western companies.

But despite all this, the sanctions regime has had a significant impact since the Russian invasion of Ukraine, which Western reports estimate will cost Russia $100 billion in oil exports from February 2022, but the problems facing the oil industry in Russia are simply beyond that. Challenges Exports Domestic shortages of diesel fuel have forced the Kremlin to restrict fuel exports from the country.

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ADNOC and TAQA finalize financing agreement for sustainable water supply project



ADNOC and TAQA finalize financing agreement for sustainable water supply project

This strategic investment by two major energy companies in Abu Dhabi aims to build and operate sustainable seawater desalination facilities and supply ADNOC’s onshore operations at the Bab and Bu Hassa fields in Abu Dhabi. Reducing emissions, improving its operations and ensuring it is future-proof.

The consortium, which includes Orascom Construction and Medito, will also build a world-class central seawater treatment facility and a network to transport and distribute treated water.

ADNOC and TAQA hold a majority stake of 51 percent (25.5 percent each) in the project company, while the construction consortium holds the remaining stake (49 percent). , then Transfer of Ownership (BOOT), the entire ownership of the project will be transferred to ADNOC after 30 years of operation.

The project will be financed by nine local and international banks. First Abu Dhabi Bank, Gulf International Bank, Natixis Bank, Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Dubai Commercial Bank, Emirates NPT, Emirates Development Bank and Warba Bank by providing commercial and Islamic finance facilities. The rest of the project cost will be paid by the shareholders according to the ownership stake.

On this occasion, Abdul Monim Saif Al Kindi, Chief Executive Officer of ADNOC’s Exploration, Development and Production Division, said: “This sustainable strategic investment is another example of ADNOC’s efforts and efforts to improve and ensure the reduction of emissions from its operations. They are future-proof in an effort to contribute to enabling transformation in the energy sector and accelerate a paradigm shift in ADNOC’s ongoing efforts to improve and modernize its business to contribute to creating a low-emission future. I am pleased to collaborate with TAQA in the implementation of this new innovative project, which will provide energy-efficient water supplies to ADNOC’s onshore operations and contribute to reducing its environmental impact.

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More than 60 percent of the project’s value is expected to be redirected to the UAE economy through the ADNOC project.

For his part, Jassim Hussain Thabet, Group CEO and Managing Director of Abu Dhabi National Energy Company (TAQA), said: “This collaboration between TAQA and ADNOC, two leading companies in the sector, will enable us to complete the world class. Sustainable project to reduce electricity consumption.” This enhances our efforts to ensure energy security. Based on TAQA’s position as a leader in fully integrated low-carbon applications, it is considered the partner of choice for companies in other sectors looking to decarbonize. “Climate.” By providing sustainable solutions for operations, water and electricity, and investing in key infrastructure needed to achieve neutrality.

By replacing the deep, high-salinity groundwater system currently used in fields, the project is expected to contribute to a 30 percent reduction in electricity consumption required for water injection operations. The project is expected to get all its electricity needs from clean sources.

The project is notable for:

  • It includes a water transportation network spanning over 75 km, distribution pipelines spanning over 230 km and two pumping stations.
  • It will provide more than 110 million gallons of filtered seawater per day based on nanofilter technology.
  • The total cost of the project is $2.2 billion (as per market conditions at the time of funding), compared to $2.4 billion when announced on May 24, 2023.

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Cybersecurity Council exposes phishing methods



Cybersecurity Council exposes phishing methods

Abu Dhabi: Imad Al-Din Khalil

The UAE Government’s Cyber ​​Security Council has revealed the methods that electronic phishing hackers use to capture personal data of individuals, companies, public and private institutions, and put businesses and finances at risk.

If a hacker wants to penetrate the security system of a company or bank, for example, it would take weeks or months for him to access a loophole that he could use to launch a cyber attack, the council said, however, there is another quick and relatively easy solution. A safe method used by many attackers is phishing.

He explained that electronic phishing is harmful messages that stimulate the senses of the user until he clicks on a particular link, whether this user is a general visitor or a specific person, once the user opens the link, he falls into the hacker’s trap and becomes a victim of unwanted curiosity and intrusion. He and his business are at risk. are exploited.

Through electronic phishing, a hacker tricks the user through a fake message containing a link containing malicious and harmful software. If the user does not carefully read the content of the message and opens it or clicks on the links in it. That, he faces a big problem that his money is stolen or his money is hacked, destroys his system or even his reputation because he has no control over the computer he is using.

In order to protect ourselves from the dangers of electronic phishing attacks, the Council emphasized the need not to disclose any personal information that could be used to identify you, as official organizations would never request such information and would not open any links from sources. What you didn’t know before, you should also use programs like protection from cyber attacks, updating all software periodically, changing passwords regularly and using double security keys.

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The Cyber ​​Security Council has called on mobile phone users to be cautious, avoid falling prey to phishing attacks and malicious scams, and avoid opening unknown links such as encrypted websites and suspicious links.

The Council called on users to regularly update their mobile device software to prevent device vulnerabilities from being exposed, citing ways to hack mobile devices, including using suspicious links, vulnerabilities and unencrypted public programs, and direct connection to lure unsuspecting users. to send their confidential data.

The Council emphasized the importance of mobile phone users adhering to usage standards, particularly for workplace phones, and continuous auditing and monitoring.

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