Trading volume on Euronext rebounds by 30% in September

In terms of aggregate monthly turnover, Euronext FX recorded $533 billion, up 18% from the $452 billion that changed hands the previous month. Year-on-year, Euronext FX turnover increased by one-third from the $407 billion reported in September 2021.

Meanwhile, average daily volume on Euronext’s spot FX market was $24.12 billion, up 3.1% from the $19.66 billion average daily volume reported in August. On an annual basis, this figure also increased by 30.6 percent from the $18.5 billion reported in September 2021.

On a quarterly basis, average transaction volume in Q3 2022 was well over the $21.7 billion mark, up 24% from the $17.5 billion recorded in the same period a year earlier.

Founded in 2012 as a joint venture between Swiss bank Credit Suisse and FX broker FXCM, Euronext FX (formerly FastMatch) provides an electronic currency trading platform primarily for institutional clients such as banks, asset managers and hedge funds. The FX unit of the French-Dutch exchange operator operates an electronic communication network (ECN) for foreign exchange trading and has matching engines in New York, London, Tokyo and Singapore.

FastMatch was acquired by Euronext in 2017 as part of the exchange’s strategy to diversify its top line and expand its proposition to an additional asset class.

Euronext, which operates Europe’s largest pan-European stock exchange, said last month that its second-quarter revenue improved to a record €374.7 million, up 14% from a year earlier.

On the foreign exchange front, Euronext reported average daily volume on its spot foreign exchange market of $23.6 billion for the second quarter of 2022, up 27% from $18.6 billion a year earlier. The spot foreign exchange division generated revenues of €7.3 million, up from €5.7 million in Q2 2021, reflecting higher trading volumes as foreign exchange markets experienced increased volatility during the quarter.

Euronext FX’s franchise disappointed expectations in 2021, which were already high after the exchange posted record trading volumes, more than double the figure it typically generated before the pandemic.