This month’s highlights:
- The daily average of contracts in the derivatives market (BM&F segment) set a new record of 2,183,679 contracts, compared to the previous record of 2,172,046 contracts registered in March 2008;
- The daily average of trades in the BM&F segment set a new record of 62,994 trades, compared to the previous record of 51,329 trades registered in October 2009;
- The daily average of contracts traded via DMA (Direct Market Access) in the BM&F segment set a new record of 696,501 contracts, compared to the previous record of 497,049 contracts registered in October 2009
- The daily average of orders routed via CME Globex – BM&FBOVESPA GTS hit a new record of 176,216 orders, compared to the previous record 154,600 orders registered in October 2009;
- Trading via Home Broker set a new record in the financial volume participation, with a total volume of BRL2.91 billion, compared to BRL2.90 billion registered in October 2009.
BOVESPA segment
In February 2010, equity markets (Bovespa segment) reached a total volume of BRL 118.06 billion, in 7,355,993 trades, with daily averages of BRL 6.55 billion and 408,666 trades, respectively. In January, total volume reached BRL 129.10 billion, 8,051,640 trades, with daily averages of BRL 6.79 billion and 423,771 trades, respectively. The participation of individual investors in the financial volume was 32.05%, followed by institutional investors (28.95%) and foreign investors (27.83%). Trading via Home Broker set the following new records: financial volume participation in the equities markets of 22.30%, compared to 21.10% in January; average daily volume of BRL2.91 billion, compared to BRL2.90 billion in October 2009; and daily average of trades of BRL16,580.00, compared to BRL14,380.00 in November of 2009.
Equities
The most traded stocks in February were: Vale PNA, with BRL 13.58 billion; Petrobrás PN, with BRL 11.35 billion; OGX Petróleo ON, with BRL 5.92 billion; Telebras PN, with BRL3.48 billion; and Petrobras ON, com BRL3.47 billion.
Indexes
The Ibovespa ended February up 1.6% at 66,503 points. Best performing stocks were:
MMX Miner ON (+26.14%); LLX Log ON (+14.39%); Gafisa ON (+12.43%); Cosan ON (+10.52%); and Lojas Renner ON (+8.45%). The worst performing stocks were: Eletrobras ON (-18.40%); Eletrobras PNB (-16.88%); Vivo PN (-8.21%); BM&FBOVESPA (-6.99%); and Telemar PN (-6.85%).
The other BM&FBOVESPA indexes ended February as follows: IBrX-50 (+1.29% at 9,253 points); IBrX-100 (+1.14% at 20,994 points); ISE (-1.70% at 1,865 points); Itel (-4.07% at 1,378 points); IEE (+0.55% at 24,437 points); INDX (+1.64% at 9,904 points); IVBX-2 (-0.30% at 5,500 points); IGC (+0.74% at 6,625 points); Itag (+0.72% at 8,506 points); Small Cap (+3.15% at 1,165 points); MidLarge Cap (+0.85% at 928 points); Iconsumo (-0.27% at 1,312 points); and Imobiliário (+6.75% at 900 points).
Market Value
Market capitalization of the 377 companies listed on BM&FBOVESPA in February was BRL 2.26 trillion, compared to BRL 2.30 trillion, which represented 385 companies listed in January.
Special Corporate Governance Levels
The 157 companies that compose BM&FBOVESPA's special corporate governance levels represented, at the end of February, 65.77% of the market capitalization, 80.30% of trading volume, and 94.71% of the trades in the spot market, compared to 160 companies, 65.20% of the market capitalization, 73.09% of trading volume, and 73.16% of the trades in the spot market at the end of January.
Market Participation
The spot market accounted for 93.0% of total trading volume in February, followed by the options market, with 4.3%, and by the forward market, with 2.7%. The after-market traded BRL 1.20 billion with 69,115 trades, compared to BRL 1.44 billion and 87,216 trades in the previous month.
Investor Participation
In February, individual investors were responsible for 32.05% of the total volume, compared to 31.45% in January. Institutional investors came next, with 28.95%, compared to 29.40%; foreign investors had 27.83%, compared to 28.03%; financial institutions, with 8.78%, compared to 8.77%; companies, with 2.35%, compared to 2.31%; and other types of investors went down to 0.04%, compared to 0.05%.
Foreign Investment
The net flow of foreign investment into the Brazilian stock market in 2010 as of February 28 is a negative BRL 1,529,222,185.50, which is the combined result of the amount of BRL 1,825,052,702.50 in acquisitions carried out by foreign investors in the stock offerings and the negative balance of BRL 3,354,274,888.00 in direct trading at BM&FBOVESPA.
In February, the financial volume traded by foreign investors in the stock market was a negative BRL 1,254,703,150.00, which is the net balance between stock sales of BRL 33,378,117,546.00 and stock purchases of BRL 32,123,414,396.00.
The foreign investor participation in stock offerings, including IPOs, represented 60.8% of the total BRL 2,999,499,581.50 in transactions related to the publication of the closing announcement dates ending on March 2, 2010.
Investment Clubs
BM&FBOVESPA ended February with 2,987 investment clubs and 42 new registrations. Total liquid asset reached BRL 13.59 billion and the number of participants reached 142,737, according to the latest available January data.
Individual Investors
BM&FBOVESPA ended February with 558,853 individual investor accounts in custody. The stock exchange had 556,830 such accounts in January.
Home Broker
Volume in Home Broker trades totaled BRL 52.53 billion in February, with 5,110,116 trades, compared to BRL 54.50 billion and 5,594,178 trades in January; daily average of trades reached 283,895 in February, in contrast to BRL 279,709 in the previous month; the number of investors placing orders stood at 201,601, compared to 226,411; and Home Broker’s participation in the stock market’s total number of trades in February remained stable at 34.70%. In February, the number of brokerage firms offering Home Broker increased to 67, compared to 66 in January.
Securities Lending
The financial volume of stock lending transactions in the Securities Lending Bank (BTC) reached BRL 29.16 billion in February, in comparison to BRL 30.69 billion in January. The total number of trades reached 64,277, compared to 65,516 in the previous month.
Fixed Income
In February, the trading volume for the secondary market, counting both the Bovespa Fix and the Soma Fix, totaled BRL 31.94 million, compared to BRL 31.31 million in January. Of this total, debentures accounted for BRL 7.73 million, Credit Receivables Investment funds (FIDC) accounted for BRL 1.55 million, and Real Estate Receivables Certificates (CRI) accounted for BRL 22.66 million.
ETFs
The financial volume registered in February by the seven BM&FBOVESPA Exchange-Traded Funds (ETFs) reached BRL 445.89 million, in contrast to BRL 422.09 million registered by the four ETFs traded in January. ETFs BRAX11, CSMO11, MOBI11, BOVA11, SMAL11, MILA11 and PIBB11 registered 9,762 trades. In the previous month, the number of trades was 7,119. ETF BOVA11 reached the highest financial volume in February, with BRL 371.77 million, in comparison to BRL 371.96 in January.
BM&F Segment (Derivatives and Futures)
Derivatives markets in the BM&F segment (including financial and commodities derivatives) totaled 39,306,238 contracts and BRL 2.47 trillion in volume in February. That compares to 36,217,359 contracts and a volume of BRL 2.65 trillion in January. The daily average of contracts traded in the derivatives markets set a new record in February, with 2,183,679 contracts, in contrast to the previous record of 2,172,046 in March 2008. The daily average number of trades also set a new record in February, with 62,994 trades, compared to the previous record of 51,329 trades registered in October 2009. Open interest contracts ended the last trading day of February with 27,556,692 positions, compared to 22,967,763 in January.
Volumes and Trades – Financial Derivatives
In February, interest rate futures (ID) traded 14,914,440 contracts, in contrast to 12,884,660 in January 2009. The US dollar futures ended the month with 6,490,915 contracts, compared to 5,825,230 in the previous month. The Ibovespa futures traded 1,478,540 contracts, compared to 1,336,045. The Euro futures contract (EUR) registered 30,280 contracts, in contrast to 10,610 contracts in January.
Volumes and Trades – Agribusiness Derivatives
In February, the BM&FBOVESPA agribusiness derivatives market (including futures and options) totaled 162,280 contracts traded, compared to 181,634 in January. Agribusiness markets totaled 115,613 open interest contracts at the end of the last trading day of February. In January, these contracts totaled 97.630.
Live cattle registered 62,696 contracts traded, compared to 72,229 in the previous month; Arabica coffee totaled 43,955 contracts, compared to 49,364; soybeans totaled 6,577 contracts, compared to 9,155; and cash settled corn futures contracts totaled 49,052 contracts, compared to 50,886.
Volumes and Trades - Minicontracts
The derivatives market for mini contracts traded 1,328,934 contracts in the month of February, compared to 1,162,272 in January. Of this total, the futures market for Ibovespa mini contracts traded 1,182,481 compared to 1,059,512 contracts in the previous month. Mini U.S. dollar futures traded 145,290 contracts, compared to 100,641 in January. Mini futures contracts ended February with 12,804 open interest contracts, in contrast to 21,556 in the previous month
Volumes and Trades – Spot Gold
The spot gold market (250 grams) traded, in February, 511 contracts, compared to 657 contracts in January. Spot gold market volume totaled BRL 8.36 million, compared to BRL 10.54 million in the previous month.
Investor Participation
In February, financial institutions led derivatives trading (BM&F segment), being responsible for 42.93% of contracts traded, compared to 43.48% in the previous month. Institutional investors were responsible for 26.39%, compared to 27.17%; foreign investors increased their participation to 23.06%, in contrast to 20.02%; individuals ended the month with 5.07% compared to 5.12%; and companies, were responsible for 2.55% in contrast to 1.84% in the previous month.
Individual Investors
In February, there were 97,028 individual investors with at least one account registered at the Derivatives Clearinghouse, compared to 94,116 in the previous month.
Volumes and trades by Direct Market Access (DMA)
BM&F Segment
In February, derivatives market segment registered a total of 12,537,023 contracts traded via DMA*, with 1,485,032 trades carried out through the GTS trading platform. In January, the total was 9,917,768 contracts traded in 1,203,321 trades.
In February, trading via DMA (including all DMA modalities) registered increases both in financial volume participation and in number of trades, setting the following records: daily average of contracts totaled 696,501 contracts, compared to 497,049 in October 2009; and daily average of orders routed via the CME Globex – BM&FBOVESPA GTS reached 176,216 contracts, compared to 154,600 in October 2009.
The volumes registered by access modality in January in comparison to the previous month are as follows:
Traditional DMA – 5,807,581 contracts traded, in 505,698 trades, in comparison to 4,590,025 contracts traded and 446,674 trades;
Via DMA Provider – 3,200,086 contracts traded, in 75,421 trades, in comparison to 2,723,958 contracts traded and 61,019 trades;
DMA via order routing with CME Globex (CME Group's electronic trading platform) – 3,171,892 contracts traded, in 816,205 trades, in comparison to 2,284,904 contracts and 618,746 trades;
DMA via co-location – 357,464 contracts traded, in 87,708 trades, in comparison to 318,881 contracts traded, in 76,882 trades.
*Direct access to the Exchange's derivatives market segment is carried out through DMA models 1, 2, 3 and 4. In model 1 or traditional, the client accesses the GTS through the technological infrastructure of the brokerage house. In model 2 or via DMA provider, the client does not use the previously mentioned structure and connects to the system through an authorized access provider. DMA model 3 allows direct access to the Exchange's electronic derivatives trading platform. In model 4 or DMA via co-location, the clients install their own equipment inside the BM&FBOVESPA facilities. DMA via order routing with CME Globex is also a form of DMA model 2.
BOVESPA segment
In February, equities* market segment transactions carried out through order routing via Direct Market Access (DMA) registered a financial volume of BRL 112.32 billion and 9,546,982 trades. In January, the financial volume was BRL 117.28 billion and 10,069,139 trades, respectively.
* Direct access to the equities market segment is carried out through DMA model 1. Also known as traditional model, in this type of DMA the client accesses the Mega Bolsa through technological intermediation of the brokerage house.
Notes:
DMA modality traded volumes includes both ends of the transaction (buy and sell).
The volumes registered by access modality in both the equities and the derivatives market segments have been presented in a consolidated manner in the BM&FBOVESPA market performance report since May 2009.