The first batch of FX platforms to report data indicate October saw a modest uptick in activity from September, although CME Group saw average daily volume (ADV) fall from an outstanding previous month.
The stand-out results come from FXSpotStream, which has reported another peak in activity at $35.9 billion per day. Not only does this represent a 12.5% increase from the previous record in September and a huge 80.1% increase year-on-year, it also means that FXSS is recording ADV very close to CboeFX, formerly HotspotFX.
CFH Clearing has formed a partnership with OneZero Financial Systems to enable it to provide local liquidity from New York (NY4) to brokers and banks. The firm now offers local liquidity and connectivity from both New York (NY4) and London (LD4) through OneZero and becomes a key part of the OneZero hub environment.
“This complex integration takes our overall offering to the next level as clients can trade in both LD4 and NY4 with a single centralised back-office account,” says Marc Levin, chief commercial officer, CFH Clearing.
Deutsche Borse has reported that its foreign exchange business, 360T, handled average daily volume of EUR 75.7 billion in September.
This represents a 10.3% increase on August’s data and the exchange group’s website says it is also a 17% year-on-year increase, although at face value this may not be the case. Since July 2018, 360T has incorporated the volumes from Gain GTX, which it bought earlier this year, however it’s historic data does not appear to include GTX data reported at the time.
In the last month of trading as Thomson Reuters, the firm’s FX platforms delivered a rise in activity in September.
The newly-rebranded Refinitiv enters business having seen the platforms handle average daily volume (ADV) of $425 billion in September across all FX products. This represents a 5.5% increase on August and a 3.4% year-on-year increase.
The increase was thanks to increased non-spot activity, while spot ADV was $98 billion, a 4.2% increase on August, it represents a 4.8% decline from September 2017. Other volume meanwhile was $327 billion, up 5.8% on both a month-on-month and year-on-year basis.
The Thomson Reuters’ results reflect developments elsewhere, with Deutsche Boerse’s 360T still to report data, only Fastmatch FX saw a month-on-month decline.
Profit & Loss understands that Tom Lovell has been named head of global broking for Asia-Pacific at TP-Icap, he will report to Barry Dennahy, CEO, TP-Icap for Asia-Pacific.
Based in Singapore, Lovell has for the last year been head of global broking, APAC, for Tullett Prebon, he has now been named to the role for the combined TP-Icap group.
Lovell moved to Singapore in mid-2017 after a five year spell as managing director for Tullett Prebon in Japan, prior to that he spent almost six years as divisional director for Icap in Sydney.
CME Group has reported the second busiest month for its FX contracts since September 2014. The exchange group reports that it handled 1.132 million contracts on a daily basis in September, a massive 28.2% increase on August. Profit & Loss estimates this to represent a notional value of $112 billion per day.
Year-on-year, activity is actually 15.4% lower at the Merc, with the previous September registering 1.23 million contracts.
Elsewhere, NEX Markets says it handled average daily volume of $86.1 billion, up 1.6% from August, but also down from the previous September, by 11.6%.
Marex Spectron has returned to the FX markets, with the launch of a new platform that includes desktop and mobile app for FX and precious metal spot trading and market monitoring.
Through the platform Marex Spectron plans to offer execution services for OTC and exchange traded products across spot, forwards and futures, NDF's, options, as well as FX price hedging. With DMA for spot and futures, and advanced API connectivity, Marex Spectron says that its clients will benefit from the aggregated liquidity of multiple banks and FX liquidity providers.
This new service has been designed for financial institutions, commercial users, hedge funds, CTA's and proprietary trading houses.
The previously announced deal for a consortium led by Blackstone to acquire 55% of the equity in Thomson Reuters’ Financial & Risk (F&R) business has now officially been completed.
The deal values the F&R business, which has now been rebranded as Refinitiv, at $20 billion.
Martin Brand, senior managing director at Blackstone, says: "We are pleased to close this landmark partnership transaction with Thomson Reuters. Blackstone is excited to invest in Refinitiv to pursue a business plan focused on accelerating growth through innovation, in partnership with Refinitiv's customers."
The first group of FX trading venues to report average daily volumes (ADV) for September paint a mixed picture with regards to the level of trading activity, much as they did at the end of August.
The ADV on CboeFX was $35.8 billion in September, a 2.5% increase compared to the previous month and an 8.1% increase compared to September 2017.
FastMatchFX recorded an ADV of $18.6 last month, down 4.6% from the $19.5 billion it recorded in August and down 10.1% from the $20.7 billion ADV it saw in September 2017. By contrast, the ADV on the FastMatch FX Tape was $84.4 billion last month, beating the previous record high that it set in August of $83.6 billion.
The US Commodity Futures Trading Commission (CFTC) has charged interdealer broker TFS-Icap with fraud and supervision failures.
In a Complaint filed in the US District Court for the Southern District of New York, the CFTC alleges that, from approximately 2008 through 2015, brokers at TFS-Icap offices in the US and the UK routinely attempted to deceive – and did deceive – their clients by engaging in the practices of communicating to them fake bids and offers and fake trades in the FX options market.