Thomson Reuters’ FX Volumes Undergo Decline in July Following Yearly Highs

Thomson Reuters (NYSE:TRI) has reported its FX trading volumes for the month ending July 2016, having undergone a decline over a monthly basis in terms of spot and total product volumes, according to a Thomson Reuters statement.

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Thomson Reuters seems to have joined the ranks of other institutional FX venues during July that have seen a pullback in volumes. The decline is hardly surprising given the abating of Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Traders Read this Term directly following the Brexit Brexit Brexit stands for British Exit, or in reference to the United Kingdom’s decision to formally leave the European Union (EU) as declared in a June 23, 2016 referendum. In a more immediate sense, a tight vote and unexpected result helped drive British pound (GBP) to lows that had not been seen in decades.The day following the referendum, former Prime Minister David Cameron resigned from office where he was replaced by Theresa May, who later resigned from office on June 7th, 2019. Active Prime Minis Brexit stands for British Exit, or in reference to the United Kingdom’s decision to formally leave the European Union (EU) as declared in a June 23, 2016 referendum. In a more immediate sense, a tight vote and unexpected result helped drive British pound (GBP) to lows that had not been seen in decades.The day following the referendum, former Prime Minister David Cameron resigned from office where he was replaced by Theresa May, who later resigned from office on June 7th, 2019. Active Prime Minis Read this Term referendum that has now reverted back to a summer lull. Thomson Reuters did however avoid paring all of last months gains in its volumes, though a pullback was evident across any margin.

During July 2016, Thomson Reuters’ average daily volume (ADV) of its FX products, including spot, forwards, swaps options and non-deliverable forwards (NDF), yielded a total of $359 billion, which was lower by a margin of -8.9% MoM from $394 billion in June 2016 – this figure was higher against July 2015, rising tepidly by a factor of 1.7% YoY from $353 billion.

Looking deeper into the latest tranche of data at Thomson Reuters, July 2016’s total of $359 billion of ADV was disaggregated to $97 billion ($116 billion in June 2016) in terms of FX spot volume, with $262 billion for other products ($278 billion in June 2016).

Earlier this month, Thomson Reuters made headlines after it extended its services to help advance the use of blockchain technology in the financial services industry – the group’s latest initiative will see it join a composite of leading financial institutions that are already working to utilize the technology that helps underpin Bitcoin into financial markets.