Average Daily FX Volumes Drop 37.5% in July at Intercontinental Exchange

The Intercontinental Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term (ICE) has just issued a monthly statement to investors outlining the trading volumes at the venue, including the FX numbers it has registered during the month of July. The FX numbers show steep declines both on a Year-on-Year basis and on a Month-on-Month comparison.

The “TOTAL FX” average daily volume (ADV) figure released by the Intercontinental Exchange, which includes futures and options for the U.S. Dollar Index and foreign exchange, reached only 20,000 contracts for July 2014. This figure is 48% lower than the July 2013 one, a very considerable drop from 39,000 contracts , and 37.5% lower from June 2014's ADV of 32,000 contracts.

The weak results for ICE are indicative of the overall worsening conditions for the FX segment recently, but they are also especially bad in comparison to the competition. Yesterday, the CME Group reported that its FX volumes dropped 20.3% MoM and 28% YoY in July 2014.