Notice for beginners in foreign exchange trading: Several major foreign exchange markets in the world

worldforeign exchangeThe market is composed of the foreign exchange markets of various international financial centers, which is a huge system. Currently, there are approximately foreign exchange markets in the world30Multiple, among which the most important areLondon, New York, Paris, Tokyo, Switzerland, Singapore, Hong KongThey have their own characteristics and are located in different countries and regions, and are interconnected, forming a unified global foreign exchange market. In order for forex speculators to easily engage in forex trading, we will introduce the following important forex markets to you.


London Foreign Exchange Market


The London foreign exchange market is a typical intangible market with no fixed trading venue, only completed through telephone, telex, and telegramForeign exchange transactions。
In the London foreign exchange market, there are approximately600Home, including domestic clearing banks, merchant banks, other commercial banks, discount companies, and foreign banks. These foreign exchange banks form the London Association of Foreign Exchange Banks, responsible for formulating rules and fee standards for participating in foreign exchange market transactions.
In the London foreign exchange market, there are approximately250Multiple designated operators. As foreign exchange brokers, they work together with foreign currency deposit brokers to form the Association of Foreign Exchange Brokers and Foreign Currency Deposit Brokers. During the implementation of foreign exchange controls in the UK, foreign exchange transactions between foreign exchange banks were generally conducted through foreign exchange brokers.
The foreign exchange trading in the London foreign exchange market is divided into spot trading and forward trading. The exchange rate quotation adopts the indirect pricing method, with a wide variety of trading currencies, up to80There are many types, often ranging from thirty to forty. The transaction processing speed is fast and the work efficiency is high. The foreign exchange arbitrage business in the London foreign exchange market is very active. Since the development of the European currency market, the foreign exchange trading in the London foreign exchange market is closely related to the storage of "European currency". The European Investment Bank is actively issuing a large number of European Deutsche Mark bonds in the London market, making the international nature of the London foreign exchange market more prominent.


New York Foreign Exchange Market


The New York foreign exchange market is one of the important international foreign exchange markets, with a daily trading volume second only to London. The New York foreign exchange market is also an intangible market. Foreign exchange transactions are conducted through modern communication networks and electronic computers, and currency settlements can be made through the New York Area Interbank Clearing System and the Federal Reserve Bank Payment System.
Due to the lack of foreign exchange controls in the United States, there are no restrictions on operating foreign exchange business, and the government does not designate specialized foreign exchange banks, almost all US banks and financial institutions can operate foreign exchange business. But the participants in the New York foreign exchange market are mainly commercial banks, including50Yu Jia Bank of America and200Multiple foreign banks have branches, correspondent banks, and representative offices in New York.
The foreign exchange transactions in the New York foreign exchange market are divided into three levels: foreign exchange transactions between banks and customers, foreign exchange transactions between domestic banks, and foreign exchange transactions between domestic and foreign banks. Among them, most interbank foreign exchange transactions are handled through foreign exchange brokers. The New York Foreign Exchange Market has8Home brokers, although some specialize in buying and selling a certain type of foreign exchange, most still engage in trading multiple currencies simultaneously. The business of foreign exchange brokers is not subject to any supervision, and they do not assume any economic responsibility for the transactions arranged by them. They only charge commissions to the sellers after each transaction is completed.
The foreign exchange market in New York is active in trading, but the volume of foreign exchange transactions related to import and export trade is relatively small. A considerable portion of foreign exchange transactions and financefuturesThe market is closely related. American companies have less foreign exchange business besides engaging in financial futures trading and having relationships with the foreign exchange market.
The New York foreign exchange market is a completely free foreign exchange market, and the exchange rate quotation adopts the direct quotation method(Refers to the pound sterling)Adopting indirect pricing method again(Refers to the currency of European countries and other countries)Facilitate US dollar trading worldwide. The main trading currencies are those of countries such as Europe, North America, Canada, Central and South America, and Far East Japan.


Paris Foreign Exchange Market


The Paris foreign exchange market consists of two parts: a tangible market and an intangible market. The tangible market mainly refers to foreign exchange trading conducted within the Paris Exchange, which is conducted in the same way as securities trading. The official foreign exchange rate is announced daily, and the foreign exchange rate against the franc is determined using the direct marking method. But a large amount of foreign exchange trading is conducted outside the exchange. Foreign exchange trading conducted outside the exchange, either through direct telephone trading between trading parties or through brokers.
In the Paris foreign exchange market, nominally all foreign currencies can be bought and sold, but in reality, only the US dollar, pound sterling, German mark, lira, Dutch guilder, Swiss franc, Swedish krone, Austrian shilling, Canadian dollar, etc. are currently priced in the Paris foreign exchange market17The only currencies that are frequently traded are7Species.
In principle, all banks can act as intermediaries to conduct foreign exchange transactions for themselves or their clients. In fact, Paris only has larger intermediaries100Banks around the house actively participate in foreign exchange market activities. Foreign exchange brokers have approximately20Name, participating in most forward foreign exchange trading and spot trading outside the exchange.


Tokyo Foreign Exchange Market


The Tokyo foreign exchange market is an intangible market, where traders trade through modern communication facilities connected to the internet. There are five types of participants in the Tokyo foreign exchange market: first, specialized foreign exchange banks, namely Tokyo Bank; The second is designated foreign exchange banks, which refer to banks that can engage in foreign exchange business340Multiple, including domestic banks in Japan243Home, foreign bank99Home; The third is foreign exchange brokers8Home; The fourth is Bank of Japan; The fifth category is non bank customers, mainly including corporate legal persons, import and export enterprise trading companies, life and property insurance companies, investment trust companies, trust banks, etc.
In the Tokyo foreign exchange market, interbank foreign exchange transactions can be conducted through foreign exchange brokers or directly. Domestic enterprises and individuals in Japan must conduct foreign exchange transactions through designated foreign exchange banks. There are two types of exchange rates, one is the listed exchange rate, which includes exchange rates for interest rate risk, handling fees, etc. Every business day morning10Around o'clock, each bank will list their own stocks based on the actual exchange rate in the interbank market, and in principle, the listed exchange rate will not be changed on the same business day. The second is the market linked exchange rate, which is priced based on the actual exchange rate in the interbank market.


Swiss foreign exchange market


The Swiss Zurich foreign exchange market is a historically traditional foreign exchange market that holds an important position in international foreign exchange transactions. On the one hand, this is because the Swiss franc is a freely convertible currency; On the other hand, due to Switzerland being a neutral country during World War II, the foreign exchange market was not affected by the war and remained open to the outside world. Its trading volume was originally ranked fourth in the world, but in recent years it has been surpassed by the Singapore foreign exchange market.