Forex Spot Volume Hits High In July With Yen And Dollar Leading The Way
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In July, the foreign exchange market experienced a lot of volatility, especially with the Japanese yen and the falling US dollar. Because of this, the average daily volumes (ADV) of the biggest institutional players in the sector went up compared to both the previous month and the same month last year.
The Japanese platform Click 365, under Tokyo Financial Exchange (TFX), recorded 2,747,854 currency contracts in July. This represents a 19% rise from June and 6.2% more than last year. The average daily volume was 119,474.
USD/JPY Pair Had The Most Trades, With An ADV Of 33,496 Contracts
The highest trading volume, like in past months, was seen in the USD/JPY pair, with an average daily volume (ADV) of 33,496 contracts. This shows a 56% increase from June, but a 15% drop compared to last year’s July. The second most traded pair was TRY/JPY with an average daily volume of 26,431 contracts and an increase of more than 90% both monthly and yearly.
The FX volumes in the US market also increased. In July, Cboe spot volumes stood at $1 trillion, up from $950 billion the previous month. Because there were more trading days, the average daily volume went down. In June, there were 20 trading days, and in July there were 23, leading to an ADV of $44.5 billion, down from $47.5 billion the month before.
At Euronext FX, overall volumes rose to $583 billion, while the average daily volume reached $25 billion. This is an improvement from June when FX volumes were $558 billion. However, like Cboe, more trading days led to the decrease of the ADV, from more than $28 billion.
360T’s Forex Volumes Exceeded $707 Billion, Up From $634 Billion In June
On 360T, owned by the German stock exchange, July’s Forex volumes went over $707 billion, up from $634 billion the month before. The average daily volume also saw a small increase, rising to $30.8 billion from $30.2 billion in July.
It’s interesting to note that these outcomes surpass those from last year. During that period, 360T’s ADV stood at $29.6 billion, and CBOE’s reached $43.9 billion.
Last month, CME Group, recorded its highest-ever FX futures trading volumes for the Q2 of 2024. Several currency pairs saw a massive increase.
The average daily volume (ADV) for foreign exchange hit 1.1 million contracts in the second quarter, a 20% rise from the same period the previous year. This increase in CME Group’s Forex trading was due to higher market volatility and more hedging because of global economic uncertainties.
