CLS FX Nov14: Vols down -2.3% to $5,170bln/day


The CLS settlement system has reported a -2.3% drop in the average daily value of FX trades settled through their platform in Nov 2014, some -13% lower from the record set in September. Although the monthly drop is around half the average fall seem in the major platforms that reported last week, which saw falls ranging from -4.4% for Hotspot to down -11% for Reuters Spot matching.

The number of instructions submitted was down -5.4% from the record level of 1.465mln instructions/day seen in October 14.

Details from the platform and charts are as follows:

CLS value of instructions submitted: $5,170bln/day, down -2.3% on the $5,290bln/day in Oct 14, although still up +5.7% up on Nov 13 level of $4,890bln/day.

CLS number of instructions submitted: 1,385,840, was down -5.4% on the record 1,465,105 seen in Oct 14, and some +26.7% up on Nov 2013 level of 1,094,020.

CLS Average Trade Size Nov 14CLS Data: Value and number of transactions submitted to CLS in Nov 2014

Average Trade size: $3.73mln was up 3.3% on the $3.61mln in Oct 14 and down -16.5% compared to the $4.47mln in Nov 2013.

CLS Average Trade Size1 Nov 14

 CLS Data: Average Trade size for Nov 2014

Major FX Platforms report Nov 14 volumes: Down across the board between 4-11%


The major platforms have now released their Nov 14 volumes, with Reuters showing an overall -7.1% drop in volumes to $347bn/day, with Spot FX down -11%, which is twice as large a drop as the -5.3% drop from EBS announced last week.

Reuters total: $347bn/day in Nov, down -7.1% on Oct, although still up +16.1% compared to Nov 13 level of $298.8bn/day.

Reuters Spot: $120bn/day in Nov, down -11% on Oct, and only up 4.5% compared to Nov 13 level of $114.8bn/day.

EBS $123bn/day in Nov, down -5.3% on Oct, although still up a respectable +54.7% compared to Nov 13 level of $79.5bn/day

Hotspot: $32.8bn/day in Nov, down -4.4% on Oct, and up +10.7% compared to Nov 13 level of $29.6bln/day

EBS Markets and EBSDirect, has now exceeded Reuters Spot FX, for the first time since Feb 2013 (see the red circles in chart below). The recent EBS success driven by strong performance of EBSDirect, their new FX relationship offering. It will be interesting to whether EBS can repeat this success with their third new offering EBS Select, which is an anonymous, segmented, bilateral liquidity pool.

So, it’s all happening at EBS, as last week they announced that the two flagship offerings from ICAP, EBS and BrokerTec will merge to create EBS-BrokerTec, combining FX and Fixed income offerings – this will see new clients and flows being on-boarded to EBS, and new products being offered – interesting times indeed!

Reuters, EBS & Hotspot Nov 14Reuters, EBS and Hotspot FX volumes Nov 14

EBS & Hotspot FX vols Nov 2014: EBS & Hotspot both down around 5% in Nov


EBS saw a small -5.4% drop in volumes in Nov 2014 to $123bn/day, coming after the very Sept and Oct figures and is the first dip since Jul 14. Whilst Hotspot (whose owners Knight Capital Group KCG are looking to sell the platform), saw a small -4.4% drop in Nov 14 volumes to $32.8bln/day.

Actual figures for platforms are as follows:

EBS $123bn/day in Nov14, up -5.4% on Oct, and still up +54.7% compared to Nov13 level of $79.5bln/day

Hotspot: $32.8bn/day in Nov14, down -4.4% on Oct, and up +10.7% compared to Nov13 level of $29.6bln/day

EBS & Hotspot Nov 14

EBS volumes till Nov 14

EBS Oct 14 Vol

Breakdown of EBS volumes showing EBSDirect for Oct 14.

Thomson Reuters and CLS settlement platform will report their volumes next week.

CLS FX vols Oct14: Vols down -10.9% to $5,290bln/day, whilst setting new record transactions of 1.465mln/day


The CLS settlement system has reported a -10.9% drop in the average daily value of FX trades settled through their platform in October 2014 compared to the record set in September, which is in-line with similar drops seen in Thomson Reuters and Hotspot volumes (although EBS bucked the trend with a 10pct rise).

However, whilst the value of trades has dropped, the number of instructions submitted was up 3.2% at a new record of 1.465mln instructions/day.

Details from the platform and charts are as follows: Continue reading

Thomson Reuters FX vols for Oct 2014: Down 10.4pct at $373bln/day


Thomson Reuters has released Oct 14 volumes for their FX platforms, which show an overall -10.4% drop in volumes, with Spot FX down a smaller -6.4%, in contrast to the strong performance from EBS last week which showed a healthy +10.2% gain in the same period.

Detailed volumes for the main platforms are now as follows: Continue reading

Regulators hit five leading banks with FX manipulation fines of over $3bln


The US (CFTC), UK (Financial Conduct Authority) and Swiss (Finma) regulators delivered a concerted and coordinated attack on the manipulations that have dogged the FX market for too long. The three regulators have hit five top global FX banks with fines totally over $3bln, but there is certainly more to come.

The banks: Citi, HSBC, JPMorgan, RBS and UBS  (Barclays are negotiating their own settlement with regulators), are all accused of manipulating the FX benchmark fixings, front running client orders and collusion. The authorities have also released what amount to damning transcripts from private FX chat rooms that clearly show that traders at these banks were colluding and front running client orders.

CFTC has released transcripts from the private FX chat rooms used by the traders, whilst the UK FCA provides similar examples of manipulation including a number of videos with graphics explaining what went on in the chat rooms ahead of the fixings, below is a visual from the video Continue reading

EBS & Hotspot FX vols Oct 2014: EBS up 10pct whilst Hotspot down 10pct!


EBS the FX platform owned by ICAP saw a strong performance in Oct 2014, with daily volumes rising 10.2pct to $129.9bln/day, the highest volumes since Feb 13 as volatility returns to the FX markets. Although at same time Hotspot (whose owners Knight Capital Group KCG are looking to sell the platform), saw Oct 14 daily volumes drop by 10.3pct to $34.3bln/day.

Actual figures for platforms are as follows: Continue reading

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