Foreign Exchange Market
Synonyms: FX Market, Forex Market
The market where currencies are traded across the globe.
Roughly three trillion (three million millions) dollars are traded on the foreign exchange market globally every single day. That’s more than all bond markets combined.
The major currency markets exist in the form of spot, forward, futures and options markets and are made up of banks, forex dealers, commercial companies, investment management firms, hedge funds, central banks and you – the investor.
The vast majority of forex market volume comes from speculative short-term investments made based on expected currency movements.Back to Glossary