OneChicago announces August volumes 02 September 2011Chicago Reporter: Anna Reitman
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One Chicago has announced that a total of 507,238 security futures contracts were traded in August this year.
Volumes at the equity finance exchange were up 25 per cent year-on-year and open interest stood at a whisker above 385,000 contracts in August.
Almost 100,000 August futures valued at more than $480 million were taken to delivery, emphasising the use of single stock futures as an equity finance product, the company writes.
In mid-August, after four European countries announced short selling bans, OneChicago listed MSCI futures on the ETFs covering Belgium, France, Italy and Spain in direct response but has not seen any business on the listings yet.
Market observers have commented that this kind of product, which replicates an index but without the banned stock, will be interesting to traders that typically use the Eurostoxx50 to go directionally short in the eurozone countries. The problem is whether liquidity will be there when a trader wants to exit the position.
"They meet a market demand and have piqued interest from a trading community that could really benefit from them," says Tom McCabe, COO at OneChicago. "But there is a need for firms to educate potential users on how these products work."
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