Service Navigation

Fixed Income Highlights – August 2020 edition

Release date: 11 Aug 2020 | Eurex Exchange

Fixed Income Highlights – August 2020 edition

Market briefing

Overall, July has been somewhat of a quiet month across the board. However, there have been a few bright spots within the product portfolio, namely Schatz futures and options (F&O), where we have seen continued volume growth of +14.1% and 128.5%, respectively. This has largely been underpinned from volumes in the top left of the OTC volatility grid, which has seen renewed interest in the swaptions space. A theme that has been evident in OTC markets has been the distortion in volatility flies and firming of 3y2y as fast money unwound short caps/floor positions. Options on Italian BTP's were well supported with a 26.7% increase in volumes and weekly options on bunds saw a 29.8% increase in volumes. Volatility in bunds remained under pressure and traded in a tight range for most of July, between 4.2% - 5.8%.

Looking ahead to the rest of the summer, Eurex aims to launch Options on Buxl futures. This a product that the team is excited about and will support volumes in the underlying futures. From a product portfolio perspective, this is a welcome addition to core German benchmarks, providing end clients with a new tool for hedging and risk management purposes, portfolio overlays and expressing directional views.

Lee Bartholomew, Head of Fixed Income Product R&D, Eurex


Facts& figures


News

We're happy to announce that the all-new Eurex app is live! Get all relevant news, circulars, readiness newsflashes and events from Eurex Exchange and Eurex Clearing. Find out more about the app by reading the interview with Rahwa Kidane and Franziska Meder from Information Management (Client Services). They explain the main drivers behind the development, its benefits and how to use it.  


Risk.net: Eurex passes volatility test with flying colours
Eurex explores how Covid‑19 volatility across the industry has tested market participants’ resilience, and how the central counterparty (CCP) itself has proved its credentials as a reliable and sustainable euro liquidity pool.


Eurex EnLight: Major milestone reached
Since the launch of Eurex EnLight in March 2018, three million contracts have been traded on the RFQ platform.


Events

Webcast on-demand: ISF-ISLA -The New Regulatory Agenda What Might Delays Mean for Buy & Sell-Side Firms
Marcel Naas, Managing Director of Eurex STS, joined the panel "New Regulatory Agenda: What Might Delays Mean to Buy & Sell-Side Firms" at the ISF & ISLA securities finance webcast series. Catch on-demand webcast to follow the discussions about the pandemic's impact on upcoming regulations and the post-implementation effect it could have on the markets.

 

Market Status

XEUR

-

-

Parts of the trading system are currently experiencing technical issues

The trading system is currently experiencing technical issues

Production newsboard

The market status window is an indication regarding the current technical availability of the trading system. It indicates whether news board messages regarding current technical issues of the trading system have been published or will be published shortly.

We strongly recommend not to take any decisions based on the indications in the market status window but to always check the production news board for comprehensive information on an incident.

An instant update of the Market Status requires an enabled up-to date Java™ version within the browser.