SUBSCRIBERS

Derivatives' decline - a danger sign?

Falling trend is an indicator of low levels of volatility, which portends a correction, much like the calm before a storm

Published Sun, Nov 12, 2017 · 09:50 PM

DeeperDive is a beta AI feature. Refer to full articles for the facts.

London

A DECLINE in global derivatives trading to their lowest levels since 2007, is regarded as an indication that global markets have become sanguine.

The Bank for International Settlements (BIS), the central banks' central bank, has disclosed that the gross market value of interest rate, foreign exchange, equity and credit and commodity derivatives fell from US$15 trillion in 2016 to US$13 trillion in the first half of this year.

Copyright SPH Media. All rights reserved.