<p>After recovering from
holiday lows in January, institutional <a href=”https://www.financemagnates.com/terms/f/forex-trading/” class=”terms__secondary-term” id=”258a569f-bf49-4a61-a1b4-bc352d76141f” target=”_blank”>forex trading</a> activities slowed down in
February 2023, data from Cboe FX and Deutsche Börse’s 360T, two of the largest
institutional spot FX trading venues, show.</p><p>According to <a href=”https://fx.cboe.com/products/hotspot_volumes.jsp” target=”_blank” rel=”follow”>figures
from Cboe FX</a>, the American spot FX <a href=”https://www.financemagnates.com/terms/t/trading-platform/” class=”terms__main-term” id=”f85800b2-ccf5-4f50-9e8e-780d32afc6f6″ target=”_blank”>trading platform</a> handled a total trading
volume of $837.9 billion. The February volume is a 7% decrease from the $901.9
billion reported in January. </p><p>On the contrary, the
average daily volume (ADV) of spot FX on Cboe FX rose by 2.2% to approximately
$42 billion, which is up from approximately $41 billion last month. However, this ADV was generated within 20 trading days as opposed to 22 trading days
marked in January 2023. </p><p>In January, total
spot FX volume on Cboe FX <a href=”https://www.financemagnates.com/institutional-forex/institutional-spot-fx-demand-recovers-in-january-from-holiday-lows/” target=”_blank” rel=”follow”>had shot up by 16.5% from the holidays low</a> of $773
billion posted in December 2022 to $901.9 billion, with the ADV also jumping
by the same measure to reach approximately $41 billion during the first month
of the new year.</p><p>At 360T, one of <a href=”https://www.financemagnates.com/tag/360t/” target=”_blank” rel=”follow”>Europe’s biggest institutional FX</a> trading platforms, daily spot volumes <a href=”https://www.360t.com/volumes-overview/360t-daily-trading-volumes/” target=”_blank” rel=”follow”>added
up to $530.9 billion</a> at the end of February, which is a 3% decrease from $545
billion generated in January. Total trading volume traded on this platform
stood at $490 billion in December 2022.</p><p>Similar results were
posted in Japan as the demand for <a href=”https://www.financemagnates.com/tag/click-365/” target=”_blank” rel=”follow”>Click 365</a>, the world’s first exchange listed
FX daily futures contracts launched by the Tokyo Financial Exchange in 2005, <a href=”https://www.tfx.co.jp/en/newsfile/article/20230301-01″ target=”_blank” rel=”follow”>slumped by
11.1% month-over-month</a> to approximately 2.4 million with an average daily
volume of over 118,000. On </p><p>How Did Spot FX
Perform YoY in February 2023?</p><p>Although
institutional spot FX trading venues reported decreases month-over-month in
February 2023, when compared to the same period in 2022, a mixed performance
pattern emerges.</p><p>On Cboe FX, total
trading and average daily volumes both decreased marginally (by 0.3%) in
February 2023 when compared to the total spot volume generated during the same
month last year. These volumes came in at $840 billion and $42 billion,
respectively, in 2022.</p><p>On the contrary, 360T
reported a better spot forex performance last month when compared to the
same period last year. Total daily spot volumes traded in February 2022 adds up to $508 billion, as opposite to $530.9 billion last month. In
the same vein, Click 365 boasts of a better output in February this year as
total trading volumes of its FX daily futures contracts shot up 15.9%
year-over-year.</p>
This article was written by Solomon Oladipupo at www.financemagnates.com.
