Most traded currencies
Currency distribution of reported FX market turnover Rank Currency ISO 4217 code
(Symbol) % daily share
(April 2007)
1 United States United States dollar USD ($) 86.3%
2 European Union Euro EUR (€) 37.0%
3 Japan Japanese yen JPY (¥) 17.0%
4 United Kingdom Pound sterling GBP (£) 15.0%
5 Switzerland Swiss franc CHF (Fr) 6.8%
6 Australia Australian dollar AUD ($) 6.7%
7 Canada Canadian dollar CAD ($) 4.2%
8-9 Sweden Swedish krona SEK (kr) 2.8%
8-9 Hong Kong Hong Kong dollar HKD ($) 2.8%
10 Norway Norwegian krone NOK (kr) 2.2%
11 New Zealand New Zealand dollar NZD ($) 1.9%
12 Mexico Mexican peso MXN ($) 1.3%
13 Singapore Singapore dollar SGD ($) 1.2%
14 South Korea South Korean won KRW (₩) 1.1%
Other 14.5%
Total 200%
There is no unified or centrally cleared market for the majority of FX trades, and there is very little cross-border regulation. Due to the over-the-counter (OTC) nature of currency markets, there are rather a number of interconnected marketplaces, where different currencies instruments are traded. This implies that there is not a single exchange rate but rather a number of different rates (prices), depending on what bank or market maker is trading, and where it is. In practice the rates are often very close, otherwise they could be exploited by arbitrageurs instantaneously. Due to London's dominance in the market, a particular currency's quoted price is usually the London market price. A joint venture of the Chicago Mercantile Exchange and Reuters, called Fxmarketspace opened in 2007 and aspired but failed to the role of a central market clearing mechanism.
The main trading center is London, but New York, Tokyo, Hong Kong and Singapore are all important centers as well. Banks throughout the world participate. Currency trading happens continuously throughout the day; as the Asian trading session ends, the European session begins, followed by the North American session and then back to the Asian session, excluding weekends.
Currency distribution of reported FX market turnover Rank Currency ISO 4217 code
(Symbol) % daily share
(April 2007)
1 United States United States dollar USD ($) 86.3%
2 European Union Euro EUR (€) 37.0%
3 Japan Japanese yen JPY (¥) 17.0%
4 United Kingdom Pound sterling GBP (£) 15.0%
5 Switzerland Swiss franc CHF (Fr) 6.8%
6 Australia Australian dollar AUD ($) 6.7%
7 Canada Canadian dollar CAD ($) 4.2%
8-9 Sweden Swedish krona SEK (kr) 2.8%
8-9 Hong Kong Hong Kong dollar HKD ($) 2.8%
10 Norway Norwegian krone NOK (kr) 2.2%
11 New Zealand New Zealand dollar NZD ($) 1.9%
12 Mexico Mexican peso MXN ($) 1.3%
13 Singapore Singapore dollar SGD ($) 1.2%
14 South Korea South Korean won KRW (₩) 1.1%
Other 14.5%
Total 200%
There is no unified or centrally cleared market for the majority of FX trades, and there is very little cross-border regulation. Due to the over-the-counter (OTC) nature of currency markets, there are rather a number of interconnected marketplaces, where different currencies instruments are traded. This implies that there is not a single exchange rate but rather a number of different rates (prices), depending on what bank or market maker is trading, and where it is. In practice the rates are often very close, otherwise they could be exploited by arbitrageurs instantaneously. Due to London's dominance in the market, a particular currency's quoted price is usually the London market price. A joint venture of the Chicago Mercantile Exchange and Reuters, called Fxmarketspace opened in 2007 and aspired but failed to the role of a central market clearing mechanism.
The main trading center is London, but New York, Tokyo, Hong Kong and Singapore are all important centers as well. Banks throughout the world participate. Currency trading happens continuously throughout the day; as the Asian trading session ends, the European session begins, followed by the North American session and then back to the Asian session, excluding weekends.
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