If you’re interested in figuring out how big the forex market is, read on! Currency trading has been going on for as long as people have been minting currencies. In ancient Greece, for example, the Greek coin held more gold than the Egyptian coin. Merchants could trade to leave more Greek coins. In the past, however, only parties who were able to transact in two currencies could use this market. The parties would use the lower-valued currency to pay each other, while they demanded the higher-valued currency as payment for the exchange. This process is known as arbitrage.
Since 2001, the BIS has tracked the size of the global foreign exchange market. The BIS Triennial Central Bank Survey estimates that trading in FX markets is now $6.6 trillion per day. In April 2019, the market had returned to its long-term upward trend of turnover. This article will examine the latest evolution of the global FX markets. In this article, we will look at the factors that have contributed to the market’s growth.
Most market participants in the Forex market are financial institutions. These companies use the market as a hedge against the risks of currency fluctuations. The currency market has a few levels, including retail trading. Banks are the largest players, accounting for over 85% of the total volume, while smaller companies and individuals make up a small percentage. The main currency traded in the forex market is the US Dollar, also known as the “greenback.” It represents 73% of the total global trading. The Euro is second and accounts for 39.7% of the total volume mhtspace