Latest news with #CME.O
Reuters
02-05-2025
- Business
- Reuters
Exchange operator Cboe posts record profit on hedging rush
May 2 (Reuters) - Derivatives exchange Cboe Global Markets (CBOE.Z), opens new tab reported a record first-quarter profit on Friday and boosted its annual revenue growth forecast as heightened market volatility fueled strong growth in options trading. Exchanges thrive during times of market turmoil as trading volumes surge and investors hedge their portfolios to manage risk, driving up transaction and clearing fees for companies such as Cboe. Rivals CME Group (CME.O), opens new tab and NYSE-parent Intercontinental Exchange (ICE.N), opens new tab also had record-breaking quarters as a barrage of tariff-related headlines and the emergence of Chinese startup DeepSeek's low-cost AI model drove up market volatility. Revenue from Cboe's options trading arm jumped 15% to an all-time high of $352.4 million. Its global FX and Europe and Asia Pacific businesses also fetched record revenue in the quarter. Cboe now expects full-year revenue growth in the mid- to high-single-digit percentage range, up from its previous forecast of mid-single-digit growth. "The second quarter is off to a robust start, and we look forward to ... providing clients with a diverse toolkit of products for any market environment," outgoing CEO Fredric Tomczyk said. Its average daily volume in index options hit a quarterly record of 4.8 million contracts, a 17% jump from a year earlier. The rising popularity of options trading as well as increased activity from retail investors also boosted Cboe's business. Cboe late on Thursday named rival CME former top boss Craig Donohue as its new CEO, effective May 7. He succeeds Tomczyk, who has been at the helm since September 2023 and steered Cboe through a challenging time after the abrupt departure of former CEO Edward Tilly. Excluding one-time costs, Cboe earned a record $2.50 per share for the quarter, beating analysts' expectations of $2.36, according to estimates compiled by LSEG. Revenue jumped 13% to a quarterly record of $565.2 million, beating expectations of $560 million.
Reuters
23-04-2025
- Business
- Reuters
CME's quarterly profit jumps on strong trading activity
April 23 (Reuters) - Derivatives exchange CME Group (CME.O), opens new tab posted higher first-quarter profit on Wednesday, buoyed by strong trading volumes across product lines as traders navigated a rapidly changing economic environment. Profit stood at $956 million, or $2.62 per share, for the three months ended March 31, compared with $855 million, or $2.35 per share, reported last year. The company, which facilitates trading of futures and options, sees heightened activity during times of market volatility as clients hedge their investments and manage risks. In the first quarter, concerns over inflation — fueled by U.S. President Donald Trump's tariff rhetoric and geopolitical tensions — drove increased demand for derivatives. CME's revenue was $1.64 billion, compared with $1.49 billion a year ago.
Reuters
18-03-2025
- Business
- Reuters
CME Group to launch European rapeseed oil futures
PARIS, March 18 (Reuters) - Financial markets operator CME Group (CME.O), opens new tab said on Tuesday that it plans to launch cash-settled futures for European rapeseed oil next month, using an Argus Media index for Dutch prices. The new product will start trading on April 28, subject to regulatory approval, through CME's Chicago Board of Trade exchange, the company said in a notice on its website. The futures will consist of consecutive monthly contracts, starting with May 2025, and trade in lots of 20 metric tons, it said. Rapeseed oil is a byproduct of rapeseed, the most produced oilseed crop in Europe. The launch marks a fresh attempt by CME, whose U.S. corn, wheat and soybean futures are global price benchmarks, to expand in the European grain market. The U.S. group scrapped a European Union wheat futures contract after failing to attract volumes against Euronext's ( opens new tab wheat market , while it suspended trading in its Black Sea grain futures following Russia's invasion of Ukraine. Euronext's rapeseed futures are a price benchmark in Europe but the exchange discontinued related futures for rapeseed oil and meal that had failed to trade actively. At the same time, CME and Euronext last year jointly launched contracts to allow trading of price spreads between their respective wheat futures.
Reuters
28-02-2025
- Business
- Reuters
CME Group plans to launch Solana futures on March 17
Feb 28 (Reuters) - CME Group (CME.O), opens new tab said on Friday that it plans to roll out futures contracts on cryptocurrency Solana on March 17, pending regulatory review. The exchange said it expects to debut two contracts, one for 500 Solana coins and a "micro-sized" contract for 25 Solana. If the products get the regulatory stamp of approval, the launch would clear the way for approvals of exchange-traded funds tied to Solana. Several asset management firms already have filed for regulatory approval to launch such products. Get a look at the day ahead in U.S. and global markets with the Morning Bid U.S. newsletter. Sign up here.
Reuters
12-02-2025
- Business
- Reuters
CME Group's fourth-quarter profit rises on strong hedging activity
Feb 12 (Reuters) - Exchange operator CME Group (CME.O), opens new tab reported a higher fourth-quarter profit on Wednesday, helped by increased hedging activity by investors looking to mitigate risks from geopolitical and economic uncertainty. Market volatility remained high in the quarter due to tensions in the Middle East, uncertainty around U.S. President Donald Trump's policy and the Federal Reserve's interest-rate cuts. Trading volumes at exchanges tend to jump during periods of heightened uncertainty as clients increase their hedging activities. The company's total average daily volume rose marginally from a year earlier to 25.5 million contracts. Net profit attributable to the common shareholders of CME stood at $863.7 million, or $2.40 per share, in the three months ended December 31, compared with $804.3 million, or $2.24 per share, a year ago.
