CME trading volume and profits grow

The Chicago Mercantile Exchange (CME) saw record trading volume in the second quarter of this year, up 33% from the same period in 2004, and reported profits well above 2004 levels.

Net revenue for the quarter was up 28% to $239 million, and net income rose 44% to $82 million. The exchange credited "significantly increased trading volume" for the improved financial results - average daily volume was 4.4 million contracts over the quarter, up 33% on the similar period in 2004.

Trading continued to shift to the Globex electronic trading platform, with 3.1 million contracts traded electronically in the quarter, or 71% of total volume, up from 66% in the first quarter of the year.

CME chief executive Craig Donohue attributed increasing numbers of trades in eurodollar futures and foreign exchange for the improvement in results. "We anticipate further electronic growth as we continue to improve the functionality of our CME Globex platform and the flexibility of our product offerings," said Donohue. "These enhancements enable our customers to use more sophisticatedtrading strategies and increase trading in new electronic options products.”