(Reuters) -Derivatives exchange CME Group posted a nearly 12% jump in its first-quarter profit on Wednesday, buoyed by record trading volumes across product lines as traders navigated a rapidly changing economic environment.
The company, which facilitates trading of futures and options, sees heightened activity during times of market volatility as clients hedge their investments and manage risks.
In the first quarter, concerns over inflation — fueled by U.S. President Donald Trump’s tariff rhetoric and geopolitical tensions — drove increased demand for derivatives.
“Amid heightened economic uncertainty, CME Group operated with exceptional resilience,” the company’s chief executive officer, Terry Duffy, said.
CME reported record average daily volume (ADV) of 29.8 million contracts in the first quarter, up 13% from a year earlier. Interest rate, equity index, agricultural, foreign exchange and cryptocurrency products all saw record quarterly growth.
Profit stood at $956 million, or $2.62 per share, for the three months ended March 31, compared with $855 million, or $2.35 per share, reported last year.
CME’s revenue was a record $1.64 billion, up 10% from a year earlier.
The company’s shares have gained 14% so far this year, while those of rival exchanges Cboe Global and NYSE-owner Intercontinental Exchange have risen 10% and 8%, respectively.
(Reporting by Niket Nishant in Bengaluru; Editing by Shinjini Ganguli)
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