FX Platforms See Record Volume Amidst Global Volatility

The global market meltdown that started on Monday last week and in subsequent days saw volatility spike across asset classes and proved to be a boon for currency trading platforms.

Volumes on key trading venues soared to new records and hit multi-year highs as activity picked-up as much as 70% in the first seven business days of August, compared with the previous month. The surge in volumes follows a robust month in July, during which activity remained healthy across the board.

Cboe FX registered $97.5 billion of trades going through its platform on August 5, with several strong days, notably August 2 at $73.9 billion and August 6 with $71.5 billion before and after the exceptional session. Overall, Cboe FX registered a 70% growth in the first 10 days of the month compared with the same period in July.

“Cboe FX achieved several daily volume records on Monday this week, as it helped its clients to trade quickly and efficiently amid volatile markets. Total Cboe FX daily volume exceeded the $100 billion mark for the first time, with spot volume reaching a new high-water mark at $97.5 billion. NDF volume on Cboe SEF reached $2.5 billion, the second-highest day on record,” Jon Watras, a senior director at CboeFX tells The Full FX.

CME Group’s FX business has also hit milestones, with EBS registering the highest single day volumes since the volatile days when the coronavirus outbreak whiplashed global markets in March 2020. The platform saw $145.4 billion worth of activity on August 5. Overall average daily volumes across venues and contracts under the CME umbrella came to $249.4 billion, including record highs for single day volumes on both FX Link and EBS Direct at $13.5 billion and $41.8 billion, respectively.

EuronextFX also achieved a new daily record as $59.7 billion of deals were conducted last Monday, while Deutsche Börse-owned 360T saw $53.62 billion-worth of flows.