How does CME's open interest growth compare with competing exchanges like ICE or Eurex in the interest‑rate space? | CME (Aug 14, 2025) | Candlesense
CME

How does CME's open interest growth compare with competing exchanges like ICE or Eurex in the interest‑rate space?

CME’s interest‑rate market is still the clear front‑runner. The August‑2025 record shows total open interest (OI) at 40 m contracts – 31.6 m on U.S. Treasury futures and 13.7 m on SOFR contracts – a roughly 30 %‑35 % year‑over‑year increase and the first time the combined book has broken the 40 m barrier. By contrast, ICE’s interest‑rate offering (mainly Eurodollar, Euribor and short‑dated Treasury products) has been growing at a mid‑single‑digit pace and remains well under 10 m contracts in total OI, while Eurex’s Euro‑zone rate futures (e.g., Bund, BTP, Euribor) hover around 5‑6 m contracts of OI and have shown only modest, flat‑to‑slight‑upward movement over the same period. In short, CME’s OI expansion outpaces ICE by 3‑4× and Eurex by 6‑7× in absolute terms.

Trading implications

  • Liquidity premium: CME’s deep, record‑level OI translates into tighter spreads and larger, more reliable execution venues for U.S. Treasury and SOFR exposure. For traders seeking efficient entry/exit or hedging in the U.S. rates arena, CME remains the most cost‑effective platform.
  • Cross‑exchange arbitrage: The disparity creates temporary price‑dislocation opportunities between CME and ICE/Eurex, especially in overlapping contracts (e.g., short‑dated Treasury vs. Eurodollar). Monitoring relative OI and bid‑ask spreads can surface low‑risk carry‑trade setups.
  • Strategic positioning: As CME continues to capture the bulk of rate‑market capital, market participants should prioritize CME‑listed products for core exposure and use ICE/Eurex contracts primarily for niche or regional positioning (euro‑zone vs. U.S. rates) or for diversification of counter‑party risk.

Overall, CME’s robust OI growth reinforces its dominance in the global interest‑rate space, and the current market dynamics favor CME‑centric strategies for both directional and hedging trades.

Other Questions About This News

What does the surge in SOFR futures open interest indicate about market expectations for short‑term rate moves? How might this record OI influence the pricing and availability of related cash and repo market instruments? What are the potential long‑term implications if open interest continues to rise beyond current levels? Could the unprecedented OI levels lead to increased volatility in Treasury yields if large positions are unwound? What impact might this record OI have on CME's revenue and fee structure from futures and options trading? Are there any regulatory or margin implications associated with such high open interest levels? What does the record OI suggest about hedging demand from banks, asset managers, and corporate treasurers? Could the elevated open interest signal a shift in market positioning ahead of upcoming Federal Reserve policy decisions? How will the record open interest in U.S. Treasury futures affect liquidity and bid‑ask spreads in the near term?