CME Group announced that trading in its recently launched Micro Henry Hub futures has exceeded 50,000 contracts since its inception. These smaller futures and options, set at one-tenth the size of CME's standard Henry Hub contracts and settled in cash, have achieved this milestone in an undisclosed location, according to a press release by CME Group.

In Oct., the Average Daily Volume (ADV) for Henry Hub futures (NG) reached around 421,000 contracts, marking a 38% YoY increase, with more than 22% of the volume originating internationally. The ADV for Henry Hub options for the same period was approximately 184,000 contracts, soaring by 113% from the previous year. This surge demonstrates the growing reliance of global traders on CME Group for efficient energy options trading.

"Heightened geopolitical events and a wave of new LNG facilities have helped solidify Henry Hub as the center of global gas markets, which has driven an increase in demand for our highly-liquid products," said Peter Keavey, Global Head of Energy and Environmental Products at CME Group. "We are pleased to expand our market access with the launch of Micro Henry Hub contracts and help a broader range of traders manage their natural gas exposure with more precision."

Micro Henry Hub allows traders to adjust their exposure for more precise and cost-effective customization of trades in the natural gas market. It offers transparency by granting easy access to the same prices and quotes as other market participants. It also provides an opportunity to access liquidity while complementing larger liquid Henry Hub Natural Gas futures. This service facilitates smooth transitions into and out of existing contracts. Traders also have the option to explore spreading opportunities with both standard and micro contracts while capitalizing on capital efficiencies through margin offsets.