SEOUL, Oct. 16 (Xinhua) -- South Korea's interbank foreign exchange trading volume grew in the third quarter due to a substantial rise in foreign exchange (FX) swap transactions, central bank data showed Friday.
The daily average transaction of foreign currencies and derivatives in the domestic interbank market increased 2.25 billion U.S. dollars from three months earlier to 55.65 billion dollars in the July-September quarter, according to the Bank of Korea.
FX swaps served as the main driver of growth, mounting 1.80 billion dollars from the previous quarter to hit a daily average trading of 25.92 billion dollars in the third quarter.
Spot exchange volume ticked up 0.07 billion dollars to 23.48 billion dollars, and forward contracts trading added 0.20 billion dollars to 2.60 billion dollars.
The transaction of other derivatives, including currency swaps and options, was up 0.18 billion dollars to 3.66 billion dollars.
The daily average volatility in the South Korean won versus U.S. dollar exchange rate advanced to 0.52 percent in September from 0.31 percent in August.
The won versus dollar exchange rate slightly dipped to 1,352.8 won per dollar at the end of September from 1,368.6 won tallied a month earlier.
Premium on credit default swap, which gauges credit risk for five-year government bonds, averaged 22 basis points in September, unchanged from the previous month. ■
