Traded volumes down in September

September brought the first correction in five months in terms of volumes traded on the Bucharest forex market, after all-time highs were registered in the summer.
As a result, in September operations on the domestic foreign currency market revolved around 29bn euros, down from almost 37bn euros, the level reached in August. In fact, the August level is an all-time high for the market, above the record high registered in July (of several hundred million euros).
The volume traded in September is lower than the level registered in the summer months, but higher than the one reached in May (a little above 26bn euros).
Even so, the September volume is more than double the level registered in the same period last year, and managed to maintain the trend witnessed over recent months.
In fact, there was also a correction in terms of volumes traded on the market last September, as volumes fell from 17 to 12bn euros. In 2006, the volume registered in August was the year’s record high.
Liquidity leapt above this level as late as January this year. It remains to be seen whether the scenario will be the same in 2007, or whether the last quarter will bring new record highs for volumes traded in Bucharest.
The drop in September is the strongest monthly variation registered on the Bucharest market, as liquidity fell by almost 8bn euros (the average volume traded in one month in 2005).
The trend is also a result of speculators’ significantly lower appetite for the Romanian market given the international financial climate.