The dollar swaps market progression is moving forward in full force, Tradeweb's Colm Murtagh writes.
Market participants want forward-looking term rates.
Since the start of 2022 liquidity has shifted to SOFR-based derivatives at an accelerated pace.
Around 85% of Tradeweb's most active clients are now using SOFR.
SOFR average daily volume increased over 250% from a year ago.
The last phase of SOFR First will involve exchange-traded derivatives with timing to be determined.
SOFR trading on Tradeweb as a percentage of new risk has reached a new weekly record for 2021.