Thomson Reuters FX Volumes Trending Downward in February

Thomson Reuters (NYSE:TRI) has reported its FX trading volumes for the month ending February 2016, which took a tumble MoM after what had been a strong start to the New Year at the venue, according to a Thomson Reuters statement.

In particular, Thomson Reuters saw a total average daily volume (ADV) of its foreign 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 (FX) products, including spot, forwards, Swaps Swaps Swaps can be defined as a derivate contact composed of two parties that exchange to cash flow between two separate financial instruments.They are generally divided into two categories. This includes contingent claims (options) and forward claims, where forward contracts, swaps, and exchange-traded funds (ETFs) are exchanged. Commodity price, equity price, interest rate, and foreign exchange rate are common variables used as one of the cash flows in swaps upon initiation. Different Types of Swaps Swaps can be defined as a derivate contact composed of two parties that exchange to cash flow between two separate financial instruments.They are generally divided into two categories. This includes contingent claims (options) and forward claims, where forward contracts, swaps, and exchange-traded funds (ETFs) are exchanged. Commodity price, equity price, interest rate, and foreign exchange rate are common variables used as one of the cash flows in swaps upon initiation. Different Types of Swaps Read this Term options and non-deliverable forwards (NDF), come in at $356 billion, which represents a fall of -5.6% MoM from $377 billion in January 2016. This was virtually unchanged compared to 2015, marking a rise of less than 1.0% YoY from $355 billion in February 2015.

Of the $356 billion however, $111 billion was FX spot volume compared to $245 billion for other products. Despite the monthly spot FX volume being lower MoM at Thomson Reuters, February 2016 also represented a step backwards over a yearly measure as well. The latest volumes reflect a -2.6% decline from $114 billion in FX spot volume in February 2015.

While February 2016 did not set any records in terms of volumes, the monthly performance was still strong, especially when weighed against other institutional exchange venues that saw a wide decline in trading volumes during the previous month. In addition, the latest figures also appear to hold onto the majority of momentum seen in at Thomson Reuters in Q1 2016, which by and large has erased a lackluster Q4 2015 in which volumes were trending downward.