CFD Trading Volumes Jump 40% as Retail Traders Chase Index Volatility
Brokers report a sharp rise in retail CFD activity on major indices as traders position for a volatile end to the summer.
Contract-for-difference trading volumes across major European brokers rose by roughly 40% month-on-month in July, according to data shared by several platforms, as retail traders sought to capitalize on rising volatility in index and commodity markets.
Index CFDs on the DAX 40 and FTSE 100 saw the largest increase in activity, with brokers citing a combination of central bank policy uncertainty and a pickup in corporate earnings surprises as key drivers.
"Retail flow tends to follow volatility, and we've had no shortage of that this summer," said one London-based brokerage executive, who noted that new account openings had also ticked up over the same period.
Amara writes on retail and institutional derivatives trading, with an emphasis on CFD volumes and positioning data across major indices and commodities.
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