Tradeweb, global operator of electronic marketplaces for rates, credit, equities and money markets, has reported total trading volume for August 2023 of US$33 trillion. Average daily volume (ADV) for the month was US$1.44 trillion, an increase of 41.2 % YoY.
US government bond ADV was up 14.9% YoY to US$142.7 billion. European government bond ADV was up 19.6% YoY to US$32.9 billion.
Tradeweb said growth was driven by strong activity across all client sectors. Higher interest rates continued to drive trading in the retail market while US and European government bond volumes were supported by sustained rates market volatility.
In credit, fully electronic US credit ADV was up 38.9% YoY to US$4.8 billion and European credit ADV was up 48.5% YoY to US$1.6 billion.
The firm said strong US credit volumes reflected continued client adoption across Tradeweb protocols, including request-for-quote (RFQ), Tradeweb AllTrade and portfolio trading.
Higher European credit volumes were supported by strong activity in sessions-based trading and RFQ.
Municipal bonds ADV remained relatively flat YoY at US$345 million and municipal volumes reflected healthy institutional and retail client activity.
Credit derivatives ADV was down 30.5% YoY to US$7.9 billion and a continued tightening of credit spreads led to a decline in overall broader swap execution facility (SEF) market activity.
In equities, US exchange traded fund (ETF) ADV was up 28.0% YoY to US$6.8 billion and European ETF ADV was down 11.9% YoY to US$1.9 billion.
Elevated volatility earlier in the month supported strong US ETF wholesale activity, while institutional activity was down. European ETF volumes reflected declining overall market volumes.
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