CLS sees FX settlement volumes rise 9% in January to $5.29 trillion daily

Transaction numbers rising briskly by 20%

The CLS settlement service has seen January FX volumes rebounding almost 9% from December 2013 with the average daily value of matched trading instructions submitted during last month coming out at $5.3 trillion which is up by 8.6% from 2013’s last month data totaling $4.87 trillion. That compares with a year ago number at $5.19 trillion, so we can now safely say that last year’s great trading volume data is coming back in full force.

The rise in the number of instructions for settlement has risen was even larger with the average daily number standing at 1,210,588 which compares to 988,674 for December 2013. That accounts for a rise by more than 20% and almost matches last January’s 1,244,505.

Elevated volumes coincide with data already released from Thomson Reuters, FXall and EBS. Emerging FX volatility and unwinding of the Japanese carry trade are the themes to start the year. Looks like we are yet to see the full effect of the Fed’s tapering on the US dollar as it has started sliding against the Euro and the British pound in the past couple of weeks.

Note that CLS data reports both sides of FX transactions.

For more on the global Forex industry see the LeapRate-Dow Jones Forex Industry Report.

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