The third quarter of 2024 at easyMarkets was characterised by significant increases in trading volumes of key financial instruments, particularly USDJPY and NDQUSD.
Our clients demonstrated exceptional responsiveness to market developments, reflecting our commitment to providing a dynamic and supportive trading environment.
Higher Demand for Yen
During Q3 2024, the USDJPY currency pair saw a considerable 98% increase in trading volume among our clients, compared to the second quarter. This uptick is attributed to heightened demand for Yen pairs among clients.
The Bank of Japan's historic decision to raise interest rates for the first time in 17 years played a pivotal role in this trend, leading to a 14% appreciation of the Yen during the quarter.
This decision came after an earlier attempt by the Japanese government to intervene and save the Yen from further devaluation. This proved successful at the beginning of August, with a 0.15% rate hike supporting the Yen.
NASDAQ Continues Its Upward Trend
Building on its strong performance in Q2, NDQUSD remained a predominant instrument among our easyMarkets clients in Q3, with trading volumes increasing by 25.3%.
This surge reflects NASDAQ's continued attractiveness, as it allows traders to capitalize on the overall performance of the tech sector without focusing on specific stocks. By trading the index, our clients can engage with the collective movements of leading tech companies, benefiting from the industry's growth without the need to navigate individual stock investments.
Shifting Market Sentiment
Interest rate changes by central banks worldwide significantly influenced market sentiment in Q3, leading to increased trading in various currency pairs. As a result, the FX sector saw the most significant rise in client trading activity during the quarter.
Bitcoin (BTC) also exhibited notable volatility. After dipping to $48,000 in early August, BTC rallied to $66,000 by the end of September, with a noteworthy 37% increase within the quarter. This substantial movement boosted BTC trading volumes among our clients, as they capitalized on these price swings.
Expert Insights
"We observed significant shifts in market dynamics during Q3, which our clients skillfully navigated," said Thomas Tsaloupis, Head of Risk at easyMarkets. "The Bank of Japan's unexpected interest rate hike and the volatility in cryptocurrencies like Bitcoin created both challenges and opportunities. Our risk management tools and platform stability were crucial in supporting our clients to make informed trading decisions amidst these market fluctuations."
Looking Ahead
easyMarkets continues to empower traders with innovative tools and exceptional support, ensuring their ability to capitalize on market opportunities in the dynamic global economy. We remain committed to providing a stable and responsive trading environment that supports our clients' success.