Looking Ahead: Here's Why Rising Rates Will Help CME Group

The past year was excellent for the companies that operate stock exchanges, as rising stock market volatility, combined with free stock-trading apps like Robinhood, increased trading volumes and the fees that exchanges collected.

Unfortunately, not all exchanges benefited, as evidenced by the relative financial performance of CME Group (NASDAQ: CME) over the past year. The world's premier derivatives exchange took a partial hit thanks to actions from the Federal Reserve to shore up the broader economy.

But recent changes in the economy suggest the clouds over the stock may be parting. 

Continue reading


Source Fool.com