We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
CME Group Makes Clean Sweep With Solid Average Daily Volume
Read MoreHide Full Article
Shares of CME Group Inc. (CME - Free Report) gained 2.4% in the last trading session after it reported average daily volume (ADV) for August. ADV of 16 million contracts per day improved 16% year over year. Of this, Options volume surged 30% year over year to average 3.1 million contracts per day, while electronic options soared 51% year over year and averaged 2.2 million contracts per day. The company witnessed increase in ADV in all six product lines.
Metals volume of 0.6 million contracts per day increased 50%, whereas Energy volume of 2.8 million contracts rallied 25%. Interest rate volume of 7.8 million contracts per day rose 10%, Equity index volume of 2.7 million increased 15% and Foreign exchange volume improved 29% to about 0.8 million. Agricultural volume of about 1.5 million contracts per day increased 18% year over year.
Recently, securities exchanges namely, CBOE Holdings Inc. (CBOE - Free Report) , Intercontinental Exchange, Inc. (NDAQ - Free Report) and MarketAxess Holdings Ltd. (MKTX - Free Report) also posted their August volumes.
CBOE Holdings’ ADV increased 33% to 7.4 million contracts per day, while Intercontinental Exchange witnessed a 12% increase in ADV to 4.6 million contracts. MarketAxess’ monthly trading volume for August was $114.3 billion.
Shares of CME Group have outperformed the industry quarter to date. While the stock has gained 2.6%, the Securities Exchanges industry registered a 1.8% rise.
CME Group’s improving volumes are driven by a solid operating leverage, helping it maintain an enormous market share. The company holds about 90% market share of the global futures trading and clearing services. Expansion of futures products in emerging markets, plus increase in non-transaction related opportunities and OTC offerings should continue to contribute modestly to the top-line growth in years ahead. Efforts to expand and cross-sell through strategic alliances, acquisitions, new product initiatives as well as global presence should also drive growth.
One Simple Trading IdeaSince 1988, the Zacks system has more than doubled the S&P 500 with an average gain of +25% per year. With compounding, rebalancing, and exclusive of fees, it can turn thousands into millions of dollars. This proven stock-picking system is grounded on a single big idea that can be fortune shaping and life changing. You can apply it to your portfolio starting today. Learn more >>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
CME Group Makes Clean Sweep With Solid Average Daily Volume
Shares of CME Group Inc. (CME - Free Report) gained 2.4% in the last trading session after it reported average daily volume (ADV) for August. ADV of 16 million contracts per day improved 16% year over year. Of this, Options volume surged 30% year over year to average 3.1 million contracts per day, while electronic options soared 51% year over year and averaged 2.2 million contracts per day. The company witnessed increase in ADV in all six product lines.
Metals volume of 0.6 million contracts per day increased 50%, whereas Energy volume of 2.8 million contracts rallied 25%. Interest rate volume of 7.8 million contracts per day rose 10%, Equity index volume of 2.7 million increased 15% and Foreign exchange volume improved 29% to about 0.8 million. Agricultural volume of about 1.5 million contracts per day increased 18% year over year.
Recently, securities exchanges namely, CBOE Holdings Inc. (CBOE - Free Report) , Intercontinental Exchange, Inc. (NDAQ - Free Report) and MarketAxess Holdings Ltd. (MKTX - Free Report) also posted their August volumes.
CBOE Holdings’ ADV increased 33% to 7.4 million contracts per day, while Intercontinental Exchange witnessed a 12% increase in ADV to 4.6 million contracts. MarketAxess’ monthly trading volume for August was $114.3 billion.
Shares of CME Group have outperformed the industry quarter to date. While the stock has gained 2.6%, the Securities Exchanges industry registered a 1.8% rise.
CME Group’s improving volumes are driven by a solid operating leverage, helping it maintain an enormous market share. The company holds about 90% market share of the global futures trading and clearing services. Expansion of futures products in emerging markets, plus increase in non-transaction related opportunities and OTC offerings should continue to contribute modestly to the top-line growth in years ahead. Efforts to expand and cross-sell through strategic alliances, acquisitions, new product initiatives as well as global presence should also drive growth.
Zacks Rank
CME Group presently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
One Simple Trading IdeaSince 1988, the Zacks system has more than doubled the S&P 500 with an average gain of +25% per year. With compounding, rebalancing, and exclusive of fees, it can turn thousands into millions of dollars. This proven stock-picking system is grounded on a single big idea that can be fortune shaping and life changing. You can apply it to your portfolio starting today. Learn more >>