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CME Group Inc. (NASDAQ:CME) reported average daily volume (ADV) for February 2020. The month recorded ADV of 30.1 million contracts per day, up 58% year over year on the back of increased contribution across all six product lines. Moreover, it increased 59.4% sequentially. Options volume increased 6.1 million contracts per day, up 73% year over year.
Energy volume of 3.2 million contracts increased 37% year over year. Interest rate volume of 17.1 million contracts per day increased 55% while Equity index volume of 6.2 million contracts per day increased 133%. Also, Metals volume of 0.9 million contracts per day increased 73% whereas Foreign exchange volumes surged 35% to 1 million contracts per day. Agricultural volume of 1.7 million contracts per day remained flat year over year.
Volumes at CME Group were backed by solid operating leverage, which helped it maintain a solid market share of about 90% in global futures trading and clearing services.
Expansion of futures products in the emerging markets plus an increase in non-transaction related opportunities as well as OTC offerings should continue to contribute modestly to its top-line growth in the years ahead.
Increasing electronic trading volume adds scalability and hence leverage to CME Group’s operating model. Efforts to expand and cross-sell through strategic alliances, acquisitions, new product initiatives and a strong global presence should also drive growth.
Recently, securities exchanges, namely Intercontinental Exchange Incorporation (NYSE:ICE) , Cboe Global Markets, Inc. (NYSE:CBOE) and MarketAxess Holdings Ltd. (NASDAQ:MKTX) also reported volumes. Intercontinental Exchange’s futures & options ADV was 7.6 million, up 39% year over year. Cboe Global reported total ADV of 11.4 million contracts increased 64.6% year over year, driven by solid performance across Options and Futures. Though U.S. Equities and global forex witnessed increase, European Equities declined. MarketAxess’ monthly trading volume came in at $592.1 billion, consisting of $190.0 billion in credit volume and $402.1 billion in rates volume.
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