U.K. Daily Currency Volume Fell 7% in October From 2011David Goodman and Emma Charlton
U.K. currency-trading volumes fell to an average $1.92 trillion a day in October, 5 percent lower than six months earlier, the Bank of England said today, citing its twice-a-year surveys.
Average trading volumes in the U.S. and Canada also declined in October from six months earlier, while those in Japan increased, separate surveys from foreign-exchange committees in these countries showed. The euro strengthened against all except two of its 16 major counterparts in October as the region’s sovereign-debt crisis eased.
The proportion of foreign-exchange trades in the U.K. involving the dollar as one of the currencies rose to 87.6 percent in October from 86.6 in April, the Bank of England’s survey showed. Those including the euro fell to 41.7 percent from 43.4 percent, and those with the pound dropped to 16.6 percent to 17.2 percent.
Thirty banks participated in the October survey, which was carried out for the Foreign Exchange Joint Standing Committee, the Bank of England said.
Average trading volumes in the U.S. declined to $794 billion a day in October from $860 billion in the previous survey in April, the Federal Reserve Bank of New York said.
Currency transactions executed by traders in Canada dropped 14 percent to $51 billion in October from April, according to the Canadian Foreign Exchange Committee. Volumes in Tokyo climbed 6.3 percent to $301 billion in October versus six months earlier, Japan’s Foreign Exchange Market Committee said.