Institutional Fx Venues Report Increased Volume After Dec 22 Drop

Data from top institutional FX trading venues shows a significant increase in volume from the December 2022 lows. Most of the US and European fx venues reported an Uptick in MoM trading activity.

However, the Japanese market reported a decrease in volume in January 2023. Overall, institutional FX trading volumes rose 14% compared to the previous month. Cboe FX, EuronextFX, FXSpotStream, and 360T are among the venues that recorded activity increases ranging from 5% to 2.

FXSpotStream’s average daily volume (ADV) saw a 5.15% increase MoM. The venue’s overall YoY volume rose by 19.75%. 360T, one of Europe’s biggest institutional FX trading platforms, recorded a total monthly trading volume of $512 billion in January 2023, a 4.4% increase from the previous month and 7.5% YoY. 360T also reported an ADV of $25.67 billion in January 2023, a 13.9% increase from its December 2022 value.

Institutional FX Trading Volume at CBOE FX Increased

Cboe FX saw its total trading volume reach $902 billion, up 17% from December’s $773 billion. The YoY volume increased by 28% from $768 billion in January 2022. There was also an increase in the average daily trading volume (ADV). Cboe FX reported an ADV of $43 billion, a 21.8% increase from December’s $35.14 billion. YoY, the ADV figure rose by 13% compared to $36 billion in January 2022.

Japanese FX Venue Click 365 Reported A MoM Decline

Contrary to the global increase in Forex demand, the Japanese FX market experienced a decline in volume. In January 2023, the ADV at Click 365 dropped by 11.9% MoM. Overall, 2,667,312 FX daily futures contracts were traded on the venue owned by Tokyo Financial Exchange (TFX) which is a 39.7% increase YoY.

TFX also reported an MoM increase of 11.6% in Equity Index Daily Futures trading volume. Considering the trading volume of all TFX products, a slight overall YoY decrease was observed in January 2023.