CLS FX Settlement platform Feb15: Vols down -8.3% to $4,870bln/day

The CLS settlement system has reported an -8.3% drop in the average daily value of FX trades settled through their platform in Feb 15, taking volumes back to the Dec 14 levels of $4,870bln/day.

The monthly drop is to far lower than that reported last week by the major FX spot platforms which saw falls ranging from down -15% to -27%.

Details from the platform and charts are as follows:

CLS value of instructions submitted: $4,870bln/day, down -8.3% on the $5,310bln/day in Jan 15, and down -5.4% compared to Feb 14.

CLS number of instructions submitted: 1,185,696 was down -16.5% on the 1,,419,369 in Jan 15, although still +3% up on Feb 14 level of 1,150,663.

Average Trade size: $4.1mln was up 10% on the $3.74mln in Jan 15 although still down -8.2% compared to the $4.48mln in Feb 14.

David Puth, CEO of CLS, commented: Continue reading

FX Platforms – Feb 15 vol: Reuters spot vol down 15%

The major FX platforms have now reported Feb 15 volumes. Following the very strong Jan figures, volumes for February are down across the board, with EBS showing the biggest drop, down -27.4%, with Reuters  reporting a smaller -15.6% fall.

Looking in more detail we see the individual platform figures as follows: Continue reading

When liquidity disappeared – FXCM account of EURCHF liquidity in 40mins following SNB announcement

FXCM has published a very interesting account of what they saw in terms of pricing in EURCHF from their bank liquidity providers in the seconds and minutes following the SNB decision to remove the 1.2000 peg at 04:30 on January 15th.

January 15 Was A Market Flash Crash – The Institutional FX Market Failed And Did Not Function: The SNB’s surprise announcement caused a complete institutional FX market breakdown impacting liquidity, volatility, spreads, and execution. Unlike other recent major market events where FXCM’s liquidity providers continued quoting and providing consistent levels of liquidity, January 15 saw an extreme lack of liquidity and pricing

  • No Liquidity – There was almost no available liquidity for approximately 40 minutes
  • Dramatically Low Pricing – External ECN prices went as low as 0.2000 and 0.5000
  • Extreme Spreads – The average spreads of EUR/CHF were more than 2000-3000 pips
  • Extreme Range – The average range of EUR/CHF was 6000 pips

In the first 5 seconds after the EUR/CHF price Continue reading

EBS sees large drop in Feb 15 vols down over 27%

EBS the leading FX ECN has reported a large drop in FX volumes in Feb 2015 down some $35.5bln/day (-27.4%) compared to the strong start to the year as previously reported, which saw Jan 15 vols of $129.6bln/day (+23.7%), although still some 12.7% up on Feb 2014.

The drop brings vols back in line with the 12mth average vols, currently running at around $96bln/day, and reflects the reduction in volatility after the manic January moves triggered by the SNB’s removal of the EURCHF floor.

EBS chart Feb 15

EBS Feb 15 FX volumes

Elsewhere, Hotspot FX, the ECN sold to BATS also saw big falls in Feb vols at $26.4bln/day (-22.8%) compared to the  strong start to the year which saw Jan 15 vols of $34.3bn/day (+23.6%).

EBS & Hotspot FX Feb 15

EBS & Hotspot Feb 15 FX volumes

We will wait to see how EBS figures compare with Reuters who should report their volumes next week.

RBS to refocus CIB Investment bank on core market segments (plus updated FX scorecard)

RBS released full 2014 figures today, reporting £3.5bln loss (following £4bln write-down on US Citizens Bank), with operating profits were £3.5bln.

Significantly, RBS is further downsizing its Corporate and Investment Bank (CIB), in order to ‘create a more focused corporate and institutional bank’.

The report identifies the drivers for change being:

  • Returns are too low Costs are too high
  • Capital usage is too high
  • Operating risks are outside of our go-forward risk appetite

The CIB will reduce country operations from Continue reading

FX Platforms – Jan 15 vols: Spot vols up 27% at Reuters

The major platforms have now released their Jan 15 volumes, with all platforms spot volumes reporting very strong figures, driven by the increased volatility resulting from the SNB surprise move to withdraw the EURCHF 1.20 floor.

Reuters Spot: $135bn/day in Jan, up +27.4% on Dec, and unchanged compared to Jan 14 level of $135.1bn/day.

Reuters Other Products: $263bn/day in Jan, up +7.8%  on Dec, and up 10.6% compared to Jan 14 level of $238bn/day.

Reuters total: $398bn/day in Jan, up +13.7% on Dec, and up some +6.8% compared to Jan 14 level of $373bn/day.

EBS $129.6bn/day in Jan, up +23.7% on Dec, and +48.1% compared to Jan 14 level of $87.5bn/day.

As reported previously Continue reading

EBS reports strong Jan 15 vols and releases new HTML5 ‘everything EBS’ platform

EBS has reported a strong start to the year, with Jan 15 vols +23.7% at $129.6bln/day, some 48.1% up on Jan 14.

The increase was driven in part by the increased volatility seen in the wake of the SNB decision to let the CHF appreciate against the Eur, which according to sources saw EBS volume that day nearly triple to $300bln. EBS volumes have now almost doubled compared to the low of $69bln/day seen in Apr 14.

EBS Jan 15

EBS Jan 15 FX volumes

We will wait to see how EBS figures compare with Reuters who should report their Jan volumes next week.

January figures also coincide with EBS announcing they are launching a new HTML5 platform, dubbed Continue reading


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