August’s market volatility significantly boosted FX trading volumes, as evidenced by data from FXSpotStream and CME Group. FXSpotStream achieved a new peak with an average daily volume (ADV) of $96.8 billion across all FX products, surpassing its previous record set in June. This represents a 4.3% increase from July and a 59.3% year-on-year rise. Spot trading drove this surge, with ADV reaching $73.2 billion, up 14.4% from July and 52.5% year-on-year. However, non-spot trading fell to $23.6 billion, an 18.1% decrease from July but still up 85.1% year-on-year.
CME Group’s FX segment also saw strong performance, with FX futures and options trading an average of 1.042 million contracts, roughly $96.9 billion in notional terms. This is a 19.3% increase from July and a 35.7% rise year-on-year, marking the highest non-roll month for CME since February 2020. Significant gains were noted across several currencies except the JPY, which saw a notable 670% increase in options ADV, though the exact volume remains undisclosed.
EBS experienced a surge in activity with ADV reaching $71.7 billion per day, a 16.2% increase from July and a 37.4% year-on-year rise. The platform recorded its busiest day since March 2020 with $145.4 billion and set an all-time daily record of $41.8 billion on EBS Direct. Additionally, EBS Market saw a daily high of $15.5 billion in one-month NDFs during the first week of August.
CME’s FX Link platform, which connects OTC and futures liquidity, also achieved record volumes. On August 5, FX Link hit a daily high of $13.52 billion and surpassed $10 billion on August 2. For the month, FX Link’s ADV reached $5.34 billion, an 11.3% increase from July and three times higher than August 2023.
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