Intercontinental Exchange, Inc. (NYSE: ICE), the leading global network of exchanges and clearing houses, today reported exchange traded volumes for June and the second quarter of 2014.
For June and the second quarter of 2014, futures and options average daily volume (ADV) decreased 26% and 20%, respectively, compared to prior year periods.
- June commodity ADV declined 14% year to year, despite an 18% increase in Brent ADV and a 7% increase in Other Oil ADV. Financial ADV decreased 33% due primarily to continued low volatility.
- In June, NYSE’s U.S. cash equities ADV declined 21% and U.S. options ADV declined 27% year to year. The NYSE’s second quarter U.S. cash equities and U.S. options ADV decreased 12% and 21% year to year, respectively.
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ICE Futures & Options ADV (contracts in 000s) |
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| ADV June | ADV June | Change | ADV YTD | ADV YTD | Change | |||||||
| 2014 | 2013 | y/y | June ‘14 | June ‘13 | y/y | |||||||
| COMMODITIES | ||||||||||||
| Energy | ||||||||||||
| Brent | 720 | 610 | 18% | 635 | 696 | -9% | ||||||
| Gasoil | 212 | 289 | -26% | 219 | 275 | -20% | ||||||
| Other Oil (1) | 276 | 258 | 7% | 258 | 255 | 1% | ||||||
| TOTAL OIL | 1,209 | 1,157 | 5% | 1,112 | 1,226 | -9% | ||||||
| Natural Gas (2) | 764 | 1,093 | -30% | 946 | 1,320 | -28% | ||||||
| Power (3) | 87 | 134 | -36% | 122 | 142 | -14% | ||||||
| Emissions & Other (4) | 32 | 50 | -36% | 45 | 46 | -3% | ||||||
| TOTAL ENERGY | 2,091 | 2,434 | -14% | 2,225 | 2,734 | -19% | ||||||
| Agricultural | ||||||||||||
| Sugar (5) | 188 | 230 | -18% | 171 | 159 | 7% | ||||||
| Other Ags & Metals (6) | 183 | 215 | -15% | 191 | 193 | -1% | ||||||
| TOTAL AGRICULTURAL & METALS | 371 | 445 | -17% | 362 | 352 | 3% | ||||||
| TOTAL COMMODITIES | 2,462 | 2,878 | -14% | 2,587 | 3,086 | -16% | ||||||
| FINANCIALS | ||||||||||||
| Interest Rates | ||||||||||||
| Short-term Interest Rates (7) | 1,896 | 3,079 | -38% | 1,784 | 2,434 | -27% | ||||||
| Medium & Long-term Interest Rates (8) | 153 | 200 | -23% | 173 | 193 | -11% | ||||||
| TOTAL INTEREST RATES | 2,049 | 3,279 | -38% | 1,957 | 2,627 | -26% | ||||||
| TOTAL EQUITY DERIVATIVES (9) | 896 | 1,108 | -19% | 1,025 | 1,161 | -12% | ||||||
| TOTAL FX (10) | 32 | 60 | -47% | 25 | 42 | -40% | ||||||
| TOTAL FINANCIALS | 2,977 | 4,446 | -33% | 3,007 | 3,830 | -21% | ||||||
| TOTAL FUTURES & OPTIONS | 5,439 | 7,325 | -26% | 5,594 | 6,916 | -19% | ||||||
Note: Figures may not foot due to rounding.
| (1) | “Other Oil” includes futurized oil, WTI, Heating Oil, RBOB Gasoline and Middle East Sour Crude. Excludes Daily Brent Bullet contracts. | |
| (2) | “Natural Gas” includes North American, UK and European Natural Gas. | |
| (3) | “Power” includes North American, UK and European Power. | |
| (4) | “Emissions & Other” includes all emissions contracts, freight, coal, iron ore and uranium. | |
| (5) | “Sugar” includes Sugar No. 11, Sugar No. 16 and White Sugar. | |
| (6) | “Other Ags & Metals” includes Cocoa ($), Cocoa (£),Coffee “C”, Robusta Coffee, Cotton No. 2, Orange Juice, Corn, Wheat-Feed, Soybeans, Barley, Canola, Mini Gold and Mini Silver contracts. | |
| (7) | “Short-term Interest Rates” includes Euribor, Sterling, Swiss, Eonia, Eurodollar and DTCC GCF Repo contracts. | |
| (8) | “Medium & Long-Term Rates” includes Gilt, Swapnotes Yen, Treasuries, European Government Bonds, U.S. Bonds and Ultrabond contracts. | |
| (9) | “TOTAL EQUITY DERIVATIVES” includes FTSE 100, FTSE 100 Dividend, price return and net total return versions of MSCI EAFE, MSCI Emerging Markets, MSCI Europe, and MSCI World, Russell 2000® , Russell 1000® and Single Stock Equities which includes equities domiciled in 25 countries that trade in the UK. | |
| (10) | “TOTAL FX” includes futures and options for the U.S. Dollar Index and foreign exchange. | |
Financial and Reporting Update
- For the second quarter of 2014, ICE will report non-GAAP adjusted earnings per share excluding discontinued operations, and second quarter 2014 revenues and operating expenses will exclude those relating to Euronext and NYSE Technologies. Discontinued operations include NYSE Technologies along with Euronext and related foreign currency translation and transaction expense impacts. ICE expects net income from discontinued operations to be in the range of $18 million to $22 million for the second quarter of 2014.
- For the second quarter of 2014, ICE expects other revenue in the range of $102 million to $108 million, adjusting for Euronext other revenue which will be included in discontinued operations.
- ICE expects to release second quarter 2014 earnings results pre-market on Thursday, August 7.
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ICE Futures & Options Rolling Three-Month Average Rate per Contract (RPC) |
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| Three Months | Three Months | Three Months | ||||
| Futures & Options | Ending | Ending | Ending | |||
| Products | June 2014 | May 2014 | Apr 2014 | |||
| Energy | $1.38 | $1.40 | $1.35 | |||
| Agricultural & Metals | $2.40 | $2.33 | $2.30 | |||
| Total Commodities | $1.52 | $1.53 | $1.50 | |||
| Interest Rates | $0.63 | $0.63 | $0.62 | |||
| Total Financials | $0.55 | $0.53 | $0.56 | |||
RPC is calculated by dividing transaction revenues by contract volume, and may vary based on pricing, customer and product mix.
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ICE Futures & Options Open Interest (contracts in 000s) |
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| June 30, 2014 | Dec 31, 2013 | |||
| Energy | 39,499 | 41,470 | ||
| Agricultural & Metals | 3,413 | 3,372 | ||
| Total Commodities | 42,912 | 44,842 | ||
| Interest Rates | 21,196 | 18,101 | ||
| Total Financials | 36,134 | 30,385 | ||
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ICE Futures & Options Monthly and YTD Volume (contracts in 000s) |
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| Vol % | YTD | YTD | Vol % | |||||||||
| Futures & Options Products | June-14 | June-13 | Change | June ‘14 | June ‘13 | Change | ||||||
| Commodities | 51,703 | 57,570 | -10% | 320,750 | 382,768 | -16% | ||||||
| Financials | 62,515 | 88,925 | -30% | 377,992 | 482,119 | -22% | ||||||
| TOTAL CONTRACTS | 114,218 | 146,495 | -22% | 698,742 | 864,887 | -19% | ||||||
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ICE Futures & Options Second Quarter 2014 ADV and Volume (contracts in 000s) |
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| Vol % | 2Q14 | 2Q13 | Vol % | |||||||||
| Futures & Options Products | 2Q14 ADV | 2Q13 ADV | Change | Volume | Volume | Change | ||||||
| Commodities | 2,318 | 3,054 | -24% | 146,041 | 195,430 | -25% | ||||||
| Financials | 3,039 | 3,644 | -17% | 191,467 | 233,235 | -18% | ||||||
| TOTAL CONTRACTS | 5,357 | 6,698 | -20% | 337,507 | 428,666 | -21% | ||||||
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U.S. Equity Options (contracts in 000s) |
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| ADV June | ADV June | Change | ADV YTD | ADV YTD | Change | |||||||
| 2014 | 2013 | y/y | June ‘14 | June ‘13 | y/y | |||||||
| NYSE Equity Options(1) | 3,258 | 4,493 | -27% | 3,655 | 4,306 | -15% | ||||||
| Total U.S. Options Volume | 13,730 | 16,345 | -16% | 15,137 | 15,445 | -2% | ||||||
| NYSE Share of Group Total | 24% | 27% | -3pts | 24% | 28% | -4pts | ||||||
(1) “NYSE Equity Options” includes NYSE Amex Options and NYSE Arca Options trading in U.S. equity options contracts.
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U.S. Equity Options Rolling Three-Month Average Rate per Contract (RPC) |
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| Three Months | Three Months | Three Months | ||||
| Ending | Ending | Ending | ||||
| June 2014 | May 2014 | Apr 2014 | ||||
| US Equity Options | $0.16 | $0.16 | $0.16 | |||
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U.S. Cash Products (shares in millions) |
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| ADV June | ADV June | Change | ADV YTD | ADV YTD | Change | |||||||
| 2014 | 2013 | y/y | June ‘14 | June ‘13 | y/y | |||||||
| NYSE Listed (Tape A) Issues | ||||||||||||
| Handled Volume (1) | 1,037 | 1,278 | -19% | 1,049 | 1,138 | -8% | ||||||
| Matched Volume(2) | 1,017 | 1,236 | -18% | 1,024 | 1,096 | -7% | ||||||
| Total NYSE Listed Consolidated Volume | 3,093 | 3,809 | -19% | 3,395 | 3,597 | -6% | ||||||
| Share of Total Matched Consolidated Volume | 33% | 32% | +1pt | 30% | 30% | - | ||||||
| NYSE Arca, MKT and Regional (Tape B) Listed Issues | ||||||||||||
| Handled Volume (1) | 207 | 353 | -41% | 243 | 256 | -5% | ||||||
| Matched Volume(2) | 196 | 324 | -40% | 229 | 236 | -3% | ||||||
| Total NYSE Arca and MKT Listed Consolidated Volume | 857 | 1,497 | -43% | 1,064 | 1,125 | -5% | ||||||
| Share of Total Matched Consolidated Volume | 23% | 22% | +1pt | 22% | 21% | +1pt | ||||||
| Nasdaq Listed (Tape C) Issues | ||||||||||||
| Handled Volume (1) | 183 | 181 | 1% | 207 | 193 | 7% | ||||||
| Matched Volume(2) | 170 | 162 | 5% | 189 | 172 | 10% | ||||||
| Total Nasdaq Listed Consolidated Volume | 1,918 | 1,879 | 2% | 2,068 | 1,801 | 15% | ||||||
| Share of Total Matched Consolidated Volume | 9% | 9% | - | 9% | 10% | -1pt | ||||||
| TOTAL ADV U.S. Cash Shares Handled | 1,426 | 1,811 | -21% | 1,499 | 1,587 | -6% | ||||||
| (1) | “Handled Volume” represents the total number of shares of equity securities, exchange traded funds (ETFs) and crossing session activity internally matched on NYSE Group’s exchanges or routed to and executed on an external market center. | |
| (2) | “Matched Volume” represents the total number of shares of equity securities, ETFs and crossing session activity executed on NYSE Group’s exchanges. | |
| U.S. Cash Rolling Three-Month Revenue Capture | ||||||
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(per 100 shares) |
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| Three Months | Three Months | Three Months | ||||
| Ending | Ending | Ending | ||||
| June 2014 | May 2014 | Apr 2014 | ||||
| US Cash Products | $0.048 | $0.048 | $0.045 | |||
Credit Default Swaps (CDS) Transaction and Clearing
- Second quarter 2014 revenues from ICE’s credit default swap (CDS) trade execution, processing and clearing businesses totaled $41 million, compared to $40 million in the prior second quarter, and included $24 million in clearing revenues, compared to clearing revenues of $22 million in the second quarter of 2013.
- Through June 30, ICE has cleared $54 trillion in gross notional value of CDS on a cumulative basis across 1.8 million trades with open interest of $1.7 trillion. Buy-side clearing of CDS totaled $7 trillion since the launch of client clearing at ICE Clear Credit in December of 2009. ICE lists nearly 500 CDS instruments for clearing. A complete summary of CDS clearing can be found at: https://www.theice.com/clear_credit.jhtml
June 2014 Review
- Daily volume records were established in Short Sterling futures and options, MSCI World Net Total Return (NTR) index futures, mini MSCI EAFE index futures, mini MSCI Emerging Markets index futures, mini MSCI Pan Euro index futures, 2 year Euro Swapnote® futures and Dutch TTF natural gas futures.
- Total monthly and average daily volume records were established in Newcastle Coal futures and Coal Rotterdam options contracts.
- Open interest records were established in Brent and UK Natural Gas futures and UK Natural Gas, Newcastle Coal and Rotterdam Coal options contracts.
- For the first half of 2014, NYSE remained the global leader in capital raised from initial public offerings (IPOs) and follow-on deals, netting $20.7 billion in total proceeds from NYSE IPOs, which accounts for 61% of all proceeds raised from U.S. IPOs.
- ICE closed the Euronext initial public offering on June 24 with net cash proceeds of approximately €1.4 billion.
- ICE Endex and GasTerra, a Dutch trading firm, announced the contract renewal of gas storage auction services in the Netherlands.
- ICE announced separate definitive agreements for the sale of Wombat Financial Software and the combined sale of NYFIX and Metabit, both of which are expected to close in the third quarter 2014. Terms have not been disclosed. The sales will complete the previously announced divestiture of certain NYSE technologies businesses.
- ICE Clear Credit began clearing non-investment grade, high yield single name CDS instruments on June 23.
- NYSE President Thomas W. Farley testified before the Senate as an advocate for equity market structure improvements.
- The successful transition of Liffe U.S. interest rate futures contracts to ICE Futures Europe was completed June 9. The balance of Liffe U.S. products were transitioned to ICE Futures U.S. on June 30, including the MSCI index futures, and mini gold and silver futures.
Trading days in June 2014:
- Interest Rates, UK Single Stock: 21
- Commodities, Other Financials: 21
- US Cash Equities, US Equity Options: 21
ICE finalized the acquisition of NYSE Euronext on November 13, 2013. For comparison purposes NYSE Euronext volumes are included for all periods covered.
