Tradeweb Markets, a leading, global operator of electronic marketplaces for rates, credit, equities and money markets, reported total trading volume for the month of July 2024 of $40.5 trillion (tn)[1]. Average daily volume (ADV) for the month was $1.82tn, an increase of 43.5 percent (%) year-over-year (YoY).

In July 2024, Tradeweb records included:

• Share of fully electronic U.S. high yield TRACE
• ADV in global repurchase agreements

July 2024 Highlights

RATES

• U.S. government bond ADV was up 47.4% YoY to $206.1 billion (bn). European government bond ADV was up 16.5% YoY to $42.9bn.
  • U.S. government bond volumes were supported by growth across all client sectors. Increased adoption across a range of protocols and favorable market conditions contributed to the increase in volume. The addition of r8fin continues to contribute positively to wholesale volumes. Strong double-digit YoY growth in European government bonds and UK Gilts was supported by sustained volatility on the back of key political elections in Europe and the UK earlier in July, as well as a continued active primary market during the first half of the month.

• Mortgage ADV was up 17.6% YoY to $196.8bn.

• • Record July To-Be-Announced (TBA) activity was driven by robust roll trading activity and significant participation from fast-money accounts. Specified pool trading volumes were up YoY.

• Swaps/swaptions ≥ 1-year ADV was up 38.9% YoY to $351.5bn and total rates derivatives ADV was up 85.7% YoY to $671.4bn.
  • Strong volume in swaps/swaptions ≥ 1-year was driven by ongoing institutional client activity, strong tailwinds from global political uncertainties and a 23% YoY increase in compression activity, which carries a lower fee per million. Central banks continued to contribute to increased volatility due to active discussions on rate movements. Clients continued to utilize the request-for-market (RFM) protocol for risk transfers especially in inflation swaps and non-G3 currencies. Emerging markets swap growth remained strong. July compression activity was lower than 2Q24.

CREDIT

• Fully electronic U.S. credit ADV was up 38.3% YoY to $6.7bn and European credit ADV was up 10.5% YoY to $2.1bn.
  • U.S. credit volumes were driven by increased client adoption, most notably in request-for-quote (RFQ), portfolio trading and Tradeweb AllTrade®. Tradeweb captured 17.8% and a record 9.1% of fully electronic U.S high grade and U.S. high yield TRACE, respectively, as measured by Tradeweb. European credit volumes continued to be led by strong client adoption of portfolio trading as well as increased client adoption of Tradeweb AllTrade®, Automated Intelligent Execution (AiEX) and our unique dealer selection tool (SNAP IOI).
• Municipal bonds ADV was up 21.6% YoY to $363 million (mm).
  • Volume growth outpaced the broader market, which was up approximately 11% YoY[2], as Tradeweb institutional and retail volumes surpassed 20% YoY growth amidst robust issuance.
• Credit derivatives ADV was up 44.0% YoY to $10.8bn.
  • Increased hedge fund and systematic account activity, along with heightened credit volatility, led to increased swap execution facility (SEF) and multilateral trading facility (MTF) credit default swaps activity.

EQUITIES

• U.S. ETF ADV was down 1.7% YoY to $8.0bn and European ETF ADV was up 9.3% YoY to $2.3bn.
  • ETF market volumes continued to be muted as market volatility remained low. On Tradeweb, U.S. ETF institutional volumes were strong, while wholesale volumes were lower YoY. European ETF volumes increased as clients continued to embrace our automated rules-based trading protocol.

MONEY MARKETS

• Repo ADV was up 25.3% YoY to $621.8bn.
  • Increased client activity on Tradeweb’s electronic repo trading platform drove record global repo activity. The combination of quantitative tightening, increased collateral supply, and current rates market activity shifted more assets from the Federal Reserve’s reverse repo facility to money markets. Retail money markets activity was strong as markets priced in less aggressive Fed rate cuts.

Please refer to the report posted to https://www.tradeweb.com/newsroom/monthly-activity-reports/ for complete information and data related to our historical monthly, quarterly and yearly ADV and total trading volume across asset classes.

Source: Tradeweb