<b>November</b> At Eurex, the equity index derivatives segment was the most active segment, totaling 71.2 million contracts (November 2009: 64.0 million). Futures on the EURO STOXX 50 reached 30.7 million contracts and options on this index recorded another 27.7 million contracts. The futures on the DAX index reached a turnover of 3.4 million contracts, the DAX option recorded another 6.7 million contracts. The Eurex segment of equity-based derivatives (equity options and single stock futures) recorded 33.9 million contracts (November 2009: 29.1 million). Thereof, equity options totaled 27.5 million contracts, single stock futures 6.4 million contracts. <b>Due to the higher volatility of European bond markets, Eurex's interest rate derivatives segment grew by 38 percent y-o-y and reached 53.2 million contracts, compared with 38.5 million in November 2009.</b> Approximately 21.9 million contracts were traded in the Euro-Bund-Future, 12.1 million contracts in the Euro-Bobl-Future and 11.2 million contracts in the Euro-Schatz Future. The Euro-BTP-Future set a new monthly record with more than 160,000 contracts, the recently launched Short Term Euro-BTP-Future recorded almost 61,000 contracts. However, the new Sensex future launched in October is yet to trade its first lot.
funny when i was trying to trade the other day the order book melted 15 bund ticks. there was no volume to execute an order. the ever increasing bullshit exchange volumes. can someone get the crossed up volume between one algo company that has 50 accounts running. deduct that figure from the main volume and there is the true figure. i.e. not a lot. the supposed increase in volumes is bullshit. there is nothing in the order books - no depth
Well, Eurex has earned their current station in the industry - courtesy of a series of very poor internal business decisions taken unilaterally over the course of several years. And oddly enought, it really has nothing to do with their failed attempt at poaching the US markets, or even the CME in my opinion. Eurex has made a series of compliance decisions that consistently rewarded bad behaviour by institutions and decimated honest market-making liquidity by prop and independent traders. I started trading Eurex in the 90's when they were still DTB fresh off their stunning debut as an electronic alternative to a very bad Liffe floor-trading venue that was (in)famous for treating customer orders, shall we say, 'poorly' (a very kind term). DTB was started by a group of German banks who were tired of getting ripped off in London, and the speed at which they took that market completely away from Liffe verified the CME efforts to grow Globex and was completely ignored by the CBOT (another story of unadulterated idiocy, and explains in large part why is was CME who bought out the once mighty CBOT). Eurex staff has always been most eager to please the big banks and make them whole on the mistakes and downright 'dodgy' questionable (and many believed to be illegal) behavior they exhibited in the exchange trading space. Bank desks cornered the market on the CTD deliverable underlying cash instruments into various futures products, which destroyed a large percentage of the independent basis traders. Bank desk traders made 'fat-finger' mistakes (their explanation) into the live market which were subsequently busted by the exchange and which destroyed the independent and prop traders who took the other side of the orders and offset them before the trades were busted. Bank desk traders contrived and executed nefarious order strategies designed to game the market and shake out the weaker players. One such famous 'nuclear armegeddon' strategy flooded the market with monstrous sell orders simultaneously across the entire interest rate product spectrum - where the counterparties were forced to capitulate into the bank's resting bids far below. Banks continually pull shit on Eurex because they know they can get by with it. Independent and prop traders have left Eurex for the CME. There was a point in time several years ago when I used to trade about 200K Eurex contracts a month - and now, I trade it rarely.
I really do agree with what you've said about Eurex and their terrible business and customer service practices. However what i've quoted from you above is pretty wrong. The DTB was started by a group of German banks yet they continued to do the majority of their business at LIFFE as the liquidity was there and the availability of easy spread trading,they weren't getting ripped off,they may have employed poor order fillers to execute their trades,that's down to them. It couldn't have been that bad for them as the DTB launched their own bund in late 1990 and only managed to own the contract by 1997. 7 years to get this contract is hardly speedy IMO. BTW - Not a defender of LIFFE at all,they are mostly a bunch of incompetents as well who have taken on the same attitude to prop guys as Eurex.
When LIFFE took the Euribor from FIFO to Pro-Rata order matching after 200 cars I told them 'adios' as well. It's degenerated into electronic gamesmanship where all the orders are contingent - that's why you see 3000 bid for, and it trades 750 and the bids disappear to nothing in milliseconds.