Industry Metal Derivatives - Northern Europe

Northern Europe

The nominal value in the Industry Metal Derivatives market is projected to reach US$839.80bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 3.68% resulting in a projected total amount of US$1,006.00bn by 2029.
The average price per contract in the Industry Metal Derivatives market amounts to US$0.35 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 2.64m by 2029.

Market

Region

Region comparison

Currency

Analyst Opinion

In Northern Europe, the Metal Derivatives market is experiencing a significant surge in demand and activity. Customer preferences in the Metal Derivatives market in Northern Europe are leaning towards more diverse investment options, driven by a growing interest in alternative financial instruments.

Investors are increasingly looking for ways to diversify their portfolios and manage risks effectively, leading to a rise in the popularity of metal derivatives. Trends in the market indicate a shift towards increased trading volumes and liquidity in metal derivatives, reflecting a broader trend in the global financial markets. This growth is fueled by the region's stable economic environment and the attractiveness of metal derivatives as a tool for hedging against market uncertainties.

Local special circumstances, such as the region's strong industrial base and historical ties to the mining and metal industries, play a significant role in shaping the Metal Derivatives market in Northern Europe. These factors contribute to a deep understanding of metal markets and create a conducive environment for the development of sophisticated derivative products. Underlying macroeconomic factors, including the overall economic stability of Northern European countries, low interest rates, and a robust regulatory framework, further support the growth of the Metal Derivatives market in the region.

Additionally, the increasing integration of financial markets across Europe is facilitating easier access to metal derivatives for a broader range of investors in Northern Europe.

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.