FUTURES Trading falls sharply

Press, 25 August 1988, Page 27

FUTURES Trading falls sharply

After a sharp fall in interest rate futures last week trading in all contracts has been light and in narrow ranges this week.

Many private investors were frightened off by the sharemarket crash — as demonstrated by thin volume in the Barclays contract, the "Dominion” reports. But the general economic downturn is keeping other futures traders out of the market. Guthrie Brokers has noticed a sharp fall in local business since the crash. Broking manager, Mr Chris Cherrie, said many investors were caught long in the sharemarket and had pulled out of futures.

“But I would say the general economic climate has reduced the level of business we are doing.” N.Z. Equities Futures’ general manager, Mr Colin Churchouse, said a

fall in volume on the market had turned the attention of several of his clients to overseas markets.

Australia, the United States, and Asia were the main markets being targeted.

From an institutional point of view, restructuring has cut the number of dealers in the financial markets. In the spot Kiwi dollar market three desks have closed — Barclays Security Pacific, Natwest and Macquarie Bank — while Southpac and the National Bank have joined forces. SUS CONTRACTS Mth Open H/L Last Vol Sep 15765 908/765 800 40 Dec 16059 070/953 952 12 Contracts traded: 52. Open positions at August 23: Sep 192, Oct 3, Dec 57, total 252 (down 205). GOVERNMENT STOCK Mth Open H/L Last Vol Sep 8703 703/703 703 62 Contracts traded: 62. Open positions at August 23: Sep 276, total 276 (same).

Contracts traded: 215. Open positions at August 23: Sep 6295, Dec 95, Mar 77, total 6467 (down 109). WOOL Mth Open H/L Last Vol Contracts traded: nil. Open positions at August 23, Aug 4, Oct 43, Dec 19, Jan 2, Mar 3, total 71 (same).

Open positions at August 23: Sep 1683, Oct 199, Nov 10, Dec 563, Mar 122, Jun 20, Sep 7, total 2604 (up 24). SYDNEY ALL-ORDS (half-points omitted) Prev. Mth close H/L Last Vol Sep 1610 629/615 1620 977 Contracts traded: 977. Open positions at August 23: 4779 (up 117). BARCLAY’S SHARE INDEX Mth Open H/L Last Vol Sep 2050 062/050 2062 22 Contracts traded: 22. Open positions at August 23: Sep 188, total 188 (down 8).

GOVERNMENT STOCK 11/93 Mth Open H/L Last Vol Sep 8713 716/712 8714 205 Dec 8723 726/723 8725 10

90-DAY BANK BILLS Mth Open H/L Last Vol Sep 8593 597/590 8597 254 Oct 8600 604/600 8604 55 Nov 8618 618/618 8618 10 Dec 8615 620/615 8620 20 Contracts traded: 319.