NZX Dairy Derivatives monthly volumes. Source: NZX Data
Of particular note this month has been the significant activity occurring in Whole Milk Power (WMP) Options with more than 9,000 tonnes traded in August, September and October call options.
In the futures markets WMP was the most active contract with 2,850 tonnes traded. Skim Milk Powder (SMP) traded 510 tonnes, and Anhydrous Milk Fat (AMF) traded 406 tonnes.
Total volume across all dairy derivatives products this year now stands at 46,245 tonnes traded, which has already surpassed the total for all of 2013 of 36,811 tonnes traded. The average daily volume for July was a record 558 tonnes. Open interest, a reflection of the depth and breadth of market activity, now stands at 20,229 – more than 165% higher than this time last year.
