Industry Metal Derivatives - Central & Western Europe

Central & Western Europe

The nominal value in the Industry Metal Derivatives market is projected to reach US$3.16tn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 4.24% resulting in a projected total amount of US$3.89tn by 2029.
The average price per contract in the Industry Metal Derivatives market amounts to US$0.79 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached in China (US$2,835.00bn in 2024).
In the Industry Metal Derivatives market, the number of contracts is expected to amount to 4.36m by 2029.

Market

Region

Region comparison

Currency

Analyst Opinion

The Industry Metal Derivatives market in Central & Western Europe is experiencing significant growth and evolution.

Customer preferences: Customers in Central & Western Europe are increasingly turning to metal derivatives as a way to diversify their investment portfolios and hedge against market volatility. The convenience and flexibility offered by these financial instruments are attracting a wide range of investors, from institutional players to individual traders.

Trends in the market: In Central & Western Europe, there is a growing trend towards the trading of metal derivatives on electronic platforms, providing investors with real-time access to pricing and market information. Additionally, the introduction of new and innovative derivative products tailored to the specific needs of investors is driving further growth in the market.

Local special circumstances: Central & Western Europe's strong industrial base and history of metal production make it a key player in the global metal derivatives market. The region's strategic location and well-developed financial infrastructure also contribute to its attractiveness for metal derivative trading. Additionally, regulatory frameworks in countries like Germany and France support the growth of the market by ensuring transparency and investor protection.

Underlying macroeconomic factors: The economic stability and growth in Central & Western Europe are bolstering the demand for metal derivatives as investors seek to capitalize on the region's industrial activities and infrastructure development. Moreover, the low interest rate environment and inflationary pressures are driving investors towards alternative investment options like metal derivatives to enhance their returns and manage risks effectively.

Methodology

Data coverage:

Figures are based on commodity derivatives, their notional value, the number of contracts traded, the open interest (outstanding contracts at the end of a year), and the average value of a contract.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use market research & analysis, and data of World Bank, as well as the World Federation of Exchanges. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus such as GDP, wealth per capita, and the online banking penetration rate. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita an the online banking penetration rate.

Additional Notes:

The market is updated twice per year in case market dynamics change.