SINGAPORE (Reuters) - INTL FCStone, a top global bullion broker, expects further growth on its trading platform after reporting a 50% jump in precious metals trading volumes in the year ended Sept. 30, the Asia head of precious metals at the firm said.
Gold and silver trading volumes on its PM Xecute (PMX) electronic platform surpassed $30 billion in the last quarter alone, said Martin Huxley, Asia head of precious metals at INTL (INTL.O).
“Favourable market conditions in the quarter ended 30 September saw explosive growth in (precious metals) trading activity. Assuming conditions remain favorable, we would expect volumes to continue to grow.”
Benchmark gold prices XAU= scaled six-year highs during the last quarter, and record highs in Australian dollars and Indian rupees, and continue to be propped up by easing interest rates due to slowing growth in major economies and higher global geopolitical risks.
The company also expects to benefit from the customers and licenses it acquired through its recent purchase of the UOB Bullion and Futures unit of Singapore-based United Overseas Bank Limited (UOBH.SI).
That deal, which nearly doubled the firm’s staff in Singapore to 110 from 60 upon closure in early October, also equips INTL with the licenses needed to offer clients “a one-stop shop for access to global financial markets,” according to Greg Kallinikos, Deputy CEO, Asia for INTL.
Reporting Gavin Maguire and Mai Nguyen; editing by David Evans