Foreign exchange or Forex is the biggest and most liquid market in the world. Yes, it is even bigger than the global stock markets. As per the 2019 Triennial Central Bank Survey of FX and OTC derivatives markets, the average daily volume in the forex market was $6.6 trillion. There are about 180 official currencies in the world, but the most popular among traders are the U.S. dollar, British pound, Japanese yen, and the euro. Similarly, there are many forex markets around the globe, but some are more popular than others. Detailed below are the ten biggest forex trading markets.

1.United Kingdom

The UK has been ruling the forex market for quite a while now, and it is also among the most dynamic market in the world. It accounts for about 43% of all foreign exchange trading globally, as per the BIS data. In 2004, the UK accounted for 32% of all foreign exchange trading. In dollar terms, the region saw a trading volume (daily average) of $3,576 billion in 2019, compared to $835 billion in 2004.

2.United States

Even though the USD is the most popular currency among traders, the U.S. is the second biggest forex trading market. The U.S. accounts for about 16.5% of all foreign exchange trading globally. The overall share of the U.S. in global forex trade has been on a decline. In 2004, the U.S. accounted for 19.1% of the global forex trade. In dollar terms, the U.S. witnessed a trading volume of $1,370 billion in 2019, compared to $499 billion in 2004, according to BIS data.

3.Singapore

Singapore accounts for 7.6% of all foreign exchange trading, according to BIS data. In 2004, the country’s share in the forex trading was 5.1%, while in 2016, it was 7.9%. In dollar terms, the country’s daily trading volume is $633 billion, compared to $134 billion in 2004.

4.Hong Kong

Hong Kong accounts for 7.6% of all foreign exchange trading. The territory has been increasing its forex trading share gradually over the years. In 2004, the country accounted for 4.1% of the forex trading globally, while in 2016 the share was 6.7%. In dollar terms, Hong Kong’s trading volume was $632 billion in 2019, up from $106 billion in 2004.

5.Japan

Japan is the fifth-biggest forex trading market. The country’s share of the forex market has been on a decline. A decade back, it was the third largest forex market with a total trading share of 8% (in 2004). In 2019, however, Japan accounted for just 4.5% of the forex trading market. In absolute terms, the country’s daily trading volume was $376 billion in 2019, compared to $207 billion in 2004.