MKTX · 10-Q · 2026Q2 · Full report

Interest Rate Environment

MARKETAXESS HOLDINGS INC · 2026-08-07 · Importance 25 · Surprise 32

MarketAxess states that fixed-income trading volumes are affected by the current interest-rate environment, rate volatility and investors’ forecasts for future rates in the United States, Europe and elsewhere. Interest income decreased $1.2 million in the three months ended June 30, 2026, primarily because of lower yields following central-bank rate cuts. Management said the company’s assets are primarily short term and therefore not significantly affected by inflation, but inflation can increase employee compensation, technology and communications expenses that may not be recoverable through pricing.

Key facts

• Interest income decreased by $4.1 million, mainly driven by lower yields due to central bank rate cuts and lower average cash balances source
• Interest income decreased by $1.2 million mainly driven by lower average cash balances and lower yields due to central bank rate cuts. source
• Notional value of interest rate swaps outstanding as of June 30, 2026: $100.0 million and fair value of the asset: $1.0 million source