Just how big again is the currency market, the one that we, mainly, trade?
Glad you asked. Let’s take a brief look.
The currency market trades 3 to 5 (could be more) trillion every day. But what does that mean?
As a thought, if everyone on the planet liquidated their assets, that is cashed-in all their worldly possessions (a foolish notion I know, because when a certain amount of people cashed-in, the remaining processions would quickly become worthless – but play along)
And processions were taken at current value, property etc., and all debt repaid, then the cash value on the planet would be in the region of 247 trillion. So we can see that 5 trillion on the currency market, on a good day, is not unsubstantial.
Indeed, every 10 to 16 trading weeks the entire monetary value of the planet trades through currency markets.
On a weak trading day, 3 trillion traded daily. In approximations, it’s a little more than the combined value of all domestic property in the UK.
Thanks to Nick for the information.