Hotspot FX average daily volumes down 23% in February to $26.4 billion

With BATS Global Markets expected to complete it’s reported purchase of KCG’s ECN Hotspot FX on March 13th, we’ll take a look at trading volumes in February for the Hotspot ECN. To kick-start February volume metrics as a possible sign of things to come across segments of trading venues, the ECN volumes have slumped by 23% compared with January this year,

In January, just prior to the reported sale of Hotspot FX to BATS Global Markets, Inc. Class A Common Stock (BATS:BATS), Hotspot FX saw its best-ever day for trading volumes at $61.7 billion, on Thursday January 15, the day the Swiss National Bank roiled the currency markets with its removal of the EURCHF 1.20 floor.

Across the month of January, average daily volumes equated to $34.3 billion, however this momentum has not continued into February, with average daily volumes for the month weighing in at $26.4 billion, and the day in which the highest volume of the month was traded, February 12, only producing $36.7 million which is just slightly over half of the volume achieved on that monumental day in January.

The average volumes during February were affected partially by Presidents’ Day in the United States which is a public holiday on February 16, a day on which only $12 billion was traded at Hotspot FX.

Although the percentage drop in average daily volumes appears large, the final week of January set the scene for February’s performance, with average daily volumes standing at $28.9 billion per day.

Total trading volume for the month of February was $528.5 billion, down 36.12% from $719.4 billion in January this year.

For the official announcement from Hotspot FX, click here.


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