Forex Market Size And Liquidity - Deepstash

Forex Market Size And Liquidity

The bulk of forex trading takes place on what’s called the “interbank market“. The forex market has neither a physical location nor a central exchange.

The forex market is considered an over-the-counter (OTC) market because the entire market is run electronically, within a network of banks & non-bank financial institutions (NBFIs), continuously over a 24-hour period.

According to the International Monetary Fund (IMF), the USD comprises roughly 62% of the world’s official foreign exchange reserves.

Foreign exchange reserves are assets held on reserve by a central bank in foreign currencies.

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