Eurex ADV 7.2 Million Contracts - August 2012

Leading European derivatives exchange announced its August trade volume,figures were significantly lower then July however this is in line with market expectation of August being a slow month. The Eurex Group recorded an average daily volume of 7.2 million contracts (August 2011: 13.2 million). Of those, 5.1 million were Eurex Exchange contracts (August 2011: 9.1 million), and 2.1 million contracts (August 2011: 4.1 million) were traded at the U.S.-based International Securities Exchange (ISE). August 2011 saw very high volumes due to turbulences in the euro zone. In total, 117.2 million contracts were traded at Eurex Exchange and 49.1 million at ISE.

At Eurex Exchange, the equity index derivatives segment totaled 56.8 million contracts (August 2011: 123.5 million). The single largest contract was the future on the EURO STOXX 50® Index with 21.0 million contracts. The option on this blue chip index totaled 24.2 million contracts. Futures on the DAX index recorded 2.6 million contracts while the DAX options reached another 4.1 million contracts. The Eurex KOSPI Product recorded 1.8 million contracts.

Traders have access to a range of stock indices such as the DAX and EURO STOXX.

The equity derivatives (equity options and single stock futures) segment at Eurex Exchange reached 23.4 million contracts (August 2011: 30.9 million). Thereof, equity options totaled 15.1 million contracts and single stock futures equaled 8.3 million contracts.

Eurex Exchange s interest rate derivatives segment totaled 36.2 million contracts (August 2011: 54.4 million). The Euro-Bund-Future reached 13.9 million contracts, the Euro-Bobl-Future 8.0 million contracts and the Euro-Schatz-Future 6.6 million contracts.

The three Euro-BTP-Futures totaled 463,000 contracts. The Euro-OAT-Future launched in mid April recorded a new monthly record with around 448,000 contracts.

The Eurex segment dividend-based derivatives recorded around 424,000 contracts. 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 derivatives totaled 378,000 contracts, an increase of 31 percent y-o-y.

The volume traded on the Power Derivatives Market of European Energy Exchange (EEX) amounted to 78.5 Terawatthours (TWh) in August 2012 (August 2011: 94.3 TWh). On the EEX Spot and Derivatives Market for natural gas the volume traded amounted to 8.4 TWh (August 2011: 6.3 TWh). In August, a volume of 16.2 million tonnes of CO2 was traded on the Spot and Derivatives Market for Emission Allowances compared with 7.0 million tonnes of CO2 in August 2011.

Eurex was established in 1998 with the merger of Deutsche Terminbörse (DTB, the German derivatives exchange) and SOFFEX (Swiss Options and Financial Futures).

The German DAX is one of the most popular CFD instruments, Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term Magnates have written a report on CFD trading and how brokers can set up and offer the product, available in the Q1 quarterly report.