November trading volumes at one of the leading ECNs were reported to have mildly contracted when compared to the previous month’s figures. According to daily trading volumes reports by KCG Hotspot, the average daily volumes (ADV) traded on the marketplace amounted to $32.8 billion, with the total figure for the month amounting to about $655 billion.
While the decline is modest from an ADV perspective, marking a touch more than 4% lower, the total monthly figure is down almost 17%, which is partially due to the lower number of trading days during the month, with 20 active trading days when compared to October’s 23 days, as well as subdued activity around the Thanksgiving holiday.
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With volatility in major currency pairs remaining vibrant throughout the month of November, we expect to see similar mild declines to flat numbers from other major ECNs, while the potential for Japanese brokers to report new record high numbers has increased in light of the collapsing Japanese yen, which has hit its lowest levels since 2007 against the US dollar.
Despite the number declining, November marks the third consecutive month of ADV above $30 billion. After its latest quarterly report, KCG Holdings announced its intentions to sell the unit at a rumored asking price of $300 million.