WFE Research Team , London , World Federation of Exchanges | Nov 2016

 

Commodity derivatives volumes increased by 31.4% between January and October 2016 compared to the same period last year, exceeding 5.5 billion contracts traded year-to-date. Whilst commodity derivatives are not traded in the same volumes as exchange-traded equity derivatives (7.2 billion contracts year-to-date), commodity futures have surpassed stock options (2.7 billion contracts traded in the same period), stock index options (2.2 billion) and stock index futures (2.2 billion) in volumes traded, solidifying their position as the most traded class of exchange traded derivative contract.

 

Notional value of commodity exchange traded derivative contracts over time (USD trillions)

Number of commodity exchange traded derivative contracts over time (millions of contracts)

 

The increase in volumes was driven by a 32% increase in the Asia Pacific region (which accounts for 67% of the worldwide volume) coupled with increases in all other regions (51% in EMEA and 15% in the Americas).

The growth in the Asia Pacific region was mainly driven by the 199% growth in the Singapore Exchange, 102% growth in the Thailand Futures Exchange and 33% growth in Mainland China. The Mainland Chinese exchanges account for 93% of the traded volume of the whole region, dominated by the Dalian Commodity Exchange and the Shanghai Futures Exchange.

The Americas region is dominated by CME Group and Intercontinental Exchange (ICE Futures US and ICE Futures Canada), which account for 99% of the regional total.

Growth in the EMEA region was driven by Moscow Exchange which increased volumes of commodity traded derivatives more than three times (362.8 billion of contracts traded in January-October 2016), driven by increased volumes in Brent Oil futures. This was followed by ICE Futures Europe (331.5 billion contracts, 9.8% growth).

Top 10 exchanges by number of commodity derivatives traded on exchanges in October 2016:

ExchangeRegionOct-16Market share
1Dalian Commodity ExchangeAsia Pacific84 344 59219.6%
2Shanghai Futures ExchangeAsia Pacific84 305 77119.6%
3CME GroupAmericas83 769 14219.4%
4Zhengzhou Commodity ExchangeAsia Pacific59 899 82513.9%
5Moscow ExchangeEMEA44 391 57010.3%
6ICE Futures EuropeEMEA34 437 5708.0%
7Multi Commodity Exchange of India Asia Pacific16 781 6543.9%
8London Metal ExchangeEMEA13 189 4083.1%
9ICE Futures USAmericas4 828 9751.1%
10Singapore ExchangeAsia Pacific1 195 9850.3%
София plus.google.com/102831918332158008841 EMSIEN-3