Trading volume during at the CBOE Futures Exchange (CFE) during January 2012 totalled 811,283 contracts, an increase of four per cent from the 778,157 contracts traded in January 2011. This was the busiest January in CFE history and it ranks as the tenth most-active trading month ever at the exchange.
Average daily volume (ADV) at CFE during January 2012 was 40,564 contracts, also up four percent from the 38,908 contracts traded per day a year ago. January 2012 marked the twenty-eighth consecutive month that CFE monthly volume posted a year-over-year gain.
When comparing trading activity in January to the previous month, CFE total monthly volume rose by 25 percent from the 648,594 total contracts and average daily volume gained 31 percent from the 30,885 contracts per day during December 2011.
In January 2012, CBOE Volatility Index (VIX) futures volume totaled 808,784 contracts traded, up four percent from the year ago volume of 777,366 contracts traded and an increase of 25 percent from the 648,118 contracts traded in December 2011. For the month, average daily volume in VIX futures was 40,439 contracts, compared with 38,868 contracts per day a year ago and the ADV of 30,863 contracts in the previous month.
On Monday, 9 January, CFE began trading security futures on the CBOE Emerging Markets ETF Volatility Index (Index ticker: VXEEM; futures symbol: VXEM). The VXEEM Index reflects the implied volatility of the iShares MSCI Emerging Markets Index exchange-traded fund (ETF) (ticker: EEM). In addition to hedging emerging markets volatility exposure or making direct plays on emerging markets volatility, VXEM security futures – in conjunction with other volatility products – may allow market participants to trade cross-index or cross-asset volatility. In its first 17 trading days, a total of 1,956 VXEM security futures traded.
In addition, on 2 February, CFE launches futures trading on the Radar Logic 25-Metropolitan Statistical Area (MSA) RPX Composite Index (futures symbol: RPXCP). The index tracks US residential housing values as a whole. And, unlike, other housing price indicators, Radar Logic's real estate index values are published daily (versus monthly or quarterly) and include all types of home-sale closings. Radar Logic, with which CFE entered into a licensing agreement in 2011, is a real estate data and analytics company that calculates residential property indexes on the US housing market as a whole, on four US geographical regions and on 25 individual US metropolitan areas. RPXCP futures are the first of several Radar Logic 28-Day Real Estate indexes on which CFE plans to offer futures contracts.