The year 2025 was marked by persistent geopolitical turbulence, most notably the stagnation of the war in Ukraine; the conflict in Gaza and the military strikes involving Iran; major shifts in U.S. foreign policy accompanied by the imposition of tariffs that disrupted global trade; and the dissolution of the international order as we knew it. On the technological front, the race in artificial intelligence (AI) intensified, triggering massive investments and significant corporate restructuring. Over the course of the year, central banks in the U.S., the Eurozone, and the United Kingdom implemented multiple interest rate cuts, moving from restrictive towards more neutral monetary stances. Diverging from this global trend, the Bank of Japan raised rates to their highest level in 30 years to combat persistent inflation. Some regions, particularly emerging markets and developing economies, benefited from easing inflation, more diversified markets, declining interest rates and a weaker U.S. dollar, enabling higher rates of saving and investment. By the end of the year, global growth appears to have defied the initial gloomy expectations.
Markets have also closed the year on a broadly positive note. The IPO market experienced a strong recovery in 2025, led by large technology and AI-related sectors, while investor participation remained robust, with all regions reaching record trading volumes and market capitalisation.
Derivatives markets continued to play a fundamental role in managing and distributing risk. The weaponisation of critical minerals, the race to secure the energy and hardware for next-generation computing, the weakening of the U.S. dollar as a haven, and the harsh realities of climate change were among the key forces impacting commodities in 2025. Unsurprisingly, trading in commodity derivatives grew across all regions. In equity markets, global equity derivatives trading declined by 58.4%, largely reflecting regulatory changes in India.
Outside Asia-Pacific however, both the Americas and EMEA regions recorded increases in equity derivatives activity, with the largest increases happening in some emerging markets (Bolsa de Valores de Colombia, Bolsa Mexicana de Valores, and Borsa Istanbul) as well as in some European markets (BME Spanish Exchanges, Athens Stock Exchange). The U.S. equity derivative markets also experience significant growth in volumes, with a notable peak between August and October.