FRANKFURT (Reuters) -– German stock exchange operator Deutsche Boerse and New York counterpart NYSE Euronext plan to merge into what would be the world's biggest exchange group, according to a German magazine report.The report in weekly Der Spiegel, made available ahead of Monday's publication, comes two days before the German exchange group's supervisory board is scheduled to meet. A combined entity would become the world's top securities and derivatives trading company, at a time of unprecedented turmoil for providers and users of financial market services. NYSE Euronext runs the New York Stock Exchange -- the world's biggest by market cap of listed companies -- as well as the Paris, Amsterdam, Brussels and Lisbon bourses and derivatives platform Liffe. Analysts said a merger could bring cost savings that would insulate the mammoth exchange operator from an expected drop in trading volume next year, and better position it to act as a central counterparty for over-the-counter products such as credit default swaps. ""A merger would make sense. They could trade more globally with more liquidity,"" said industry analyst Wolfgang Gerke. HOLDING COMPANY
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