- 15 Jul 2025
- By CME Group
- Topics: Interest Rates
Tuesday and Thursday Treasury options are live and liquid, joining the well-established Mon/Wed/Fri listings to give you an options expiry every day of the week.
Traders have quickly embraced this new capability. In just 14 trading days, total volume has exceeded 314K contracts (22K ADV), with open interest (OI) growing to 79K.
Efficient risk transfer was crucial for participants in a turbulent first half of the year, helping to push total Rates ADV to a new record of 15.25M contracts.
Records were seen across the complex, including both long- and short-term rates, as Treasury and SOFR finished the first half of 2025 with new ADV highs.
With a number of key risks ahead in the second half of the year -- including the debt ceiling, funding concerns and geopolitical issues to name a few -- explore our tools to stay up-to-date on key market metrics and what changing rate expectations could do to your positions.
Key resources:
Our newest innovation for the world of Rates will have cash U.S. Treasuries trading alongside benchmark futures and options products.
This will unlock greater efficiencies in cash vs. futures trading, inside pricing, and will be seamlessly integrated with existing connectivity. Explore in the testing environment, available now.
The first half of 2025 saw the biggest spike in Treasury volatility in over two years. Markets have since calmed down, but our suite of volatility indices, CVOL, remains an indispensable tool for monitoring risk expectations in Treasury and STIR markets.
Access charting and analytics for CVOL indices, including sub-indices for skew, convexity and up/down variance at cvol.com.
Source: CME Group
Our latest research explores pricing and hedging of Interest Rate Swaps (IRS) with SOFR futures, covering foundational topics such as:
- Building a USD yield curve.
- Calculating futures hedges to offset/replace IRS.
- The importance of convexity adjustments.
- How strips of futures can replicate IRS.
Momentum continues to build in the Eris SOFR market with OI crossing 400K for the first time ever in June. "Mega block" trades (totaling $7M in DV01 in outright risk) helped to push Q2 ADV to new heights as well. Key stats include:
- Q2 volume up 142% from Q2 2024.
- June's peak OI is up 73% versus the start of the year.
- Tightening Eris/Treasury swap spreads - trading at three ticks wide in two-thirds of regular trading hours.
Discover more about these increasingly in-focus contracts and how to use them in your hedging strategy.
Source: CME Group
Participation in the TBA market has traditionally relied on bilateral, OTC trading, but TBA futures now offer an exchange-listed alternative.
This evolution has allowed a variety of new types of firms to gain efficient access for hedging opportunities. Read for details on this shift in the market.
Data as of July 1, 2025, unless otherwise specified.
View an archive of the Rates Recap online at cmegroup.com/ratesrecap.
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