CME Volumes Hit Record as Rates, Energy Surge
The exchange operator’s average daily volume jumped 32% sequentially to 36.2 million contracts in the first quarter.
CME Group’s trading engine roared to life in the first quarter, posting its highest-ever average daily volume and clearing fees as interest-rate and energy contracts led a broad rally. Average daily volume surged 32% sequentially to a record 36.2 million contracts, lifting clearing and transaction-fee revenue 16% to $1.5 billion. The sequential gain outpaced the 22% year-over-year increase and marked the steepest quarterly jump since the pandemic volatility of early 2020.
Interest-rate products drove the bulk of the growth, with average daily volume jumping 44% from the prior quarter to 18.7 million contracts. Energy volumes surged even faster, up 58% sequentially to 3.99 million contracts, the largest percentage gain across all asset classes. The mix shift toward lower-priced products pulled the average rate per contract down 55 basis points to $0.652, but the volume surge more than offset the pricing pressure.
International demand also hit a new high, with non-U.S. average daily volume rising 37% sequentially to 11.4 million contracts. Asia-Pacific and EMEA volumes climbed 33% and 29% year-over-year, respectively, as regional volatility in rates and commodities drew global participants. Market-data revenue followed the trend, rising 8% sequentially to a record $224 million.
The volume surge translated into operating leverage: adjusted operating income rose 24% sequentially to $1.4 billion, outpacing the 16% revenue gain. Adjusted diluted earnings per share climbed 21% to $3.36, aided by $536 million of share repurchases that resumed after a fourth-quarter pause. Dividend payments fell 31% sequentially to $2.7 billion, reflecting a return to the variable dividend’s quarterly cadence after the elevated year-end payout.
Performance bonds and guaranty-fund contributions rose 3% sequentially to $165.0 billion, aligning with higher trading activity and margin requirements. Management noted that the increase was driven by elevated volatility in interest-rate and energy markets, which lifted initial margin levels.
Looking ahead, the pipeline remains robust. Open interest in interest-rate products stood 12% above year-ago levels at quarter-end, and energy open interest was up 18%, suggesting sustained client engagement. Management flagged continued growth in international volumes, particularly in Asia, where regulatory changes have expanded access to CME’s listed derivatives.
Capital return flexibility is back in focus. The $536 million of buybacks in the quarter marked the first repurchases since the third quarter of 2025, and the board’s authorization remains at $3.5 billion. With adjusted operating margins at 68%, the exchange operator appears positioned to balance reinvestment in growth initiatives with shareholder distributions.