Intercontinental Exchange (ICE), a leading operator of global exchanges and clearing houses and provider of data and listings services, today announced record trading in the TTF Natural Gas and JKM LNG (Platts) futures contracts.
A total of 866 TWh, equating to 1,183,348 lots of TTF futures, traded during November 2018, an increase of 16% compared to the previous record of October 2018, where 749 TWh traded (1,029,021 lots). November marks the third month in a row in which TTF futures achieved monthly volume records. Open interest in TTF futures hit a record 857,528 lots on November 29, 2018, a 14% increase on the previous record of 754,669 lots set on October 26, 2018. ICE reports open interest net in line with standard industry practice.
The JKM LNG (Platts) futures contract achieved record volume of 20,916 lots in November, an increase of 14% compared to the previous record of 18,367 lots set in May 2018. A new record for open interest in JKM was reached on December 4, 2018 with 25,035 lots.
As the LNG market liberalises, a global natural gas marketplace is emerging in which the relationship between Europe and Asia is becoming integral to price formation for natural gas. In recent months, Intercontinental Exchange has highlighted the importance of Europe’s balancing role in LNG markets as the JKM/TTF spread has contracted while, at the same time, spot shipping rates have increased.
These changing natural gas dynamics are increasing the prevalence of TTF and JKM LNG (Platts) contracts as global natural gas benchmarks and are driving their increased use as hedging tools.
About Intercontinental Exchange
Intercontinental Exchange (ICE) is a Fortune 500 and Fortune Future 50 company formed in the year 2000 to modernize markets. ICE serves customers by operating the exchanges, clearing houses and information services they rely upon to invest, trade and manage risk across global financial and commodity markets. A leader in market data, ICE Data Services serves the information and connectivity needs across virtually all asset classes. As the parent company of the New York Stock Exchange, the company raises more capital than any other exchange in the world, driving economic growth and transforming markets.
Trademarks of ICE and/or its affiliates include Intercontinental Exchange, ICE, ICE block design, NYSE and New York Stock Exchange. Information regarding additional trademarks and intellectual property rights of Intercontinental Exchange, Inc. and/or its affiliates is located at http://www.intercontinentalexchange.com/terms-of-use. Key Information Documents for certain products covered by the EU Packaged Retail and Insurance-based Investment Products Regulation can be accessed on the relevant exchange website under the heading “Key information Documents (KIDS)”.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 -- Statements in this press release regarding ICE's business that are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see ICE's Securities and Exchange Commission (SEC) filings, including, but not limited to, the risk factors in ICE's Annual Report on Form 10-K for the year ended December 31, 2017, as filed with the SEC on February 7, 2018.