The 10 Most Influential Currencies
The world's most traded currencies and why they matter to global investors. Ranked by share of global FX daily trading volume according to the BIS 2025 Triennial Survey.
🇺🇸 US Dollar (USD)
The dominant global reserve currency since the Bretton Woods agreement (1944). Most commodities — including oil and gold — are priced in USD. Central banks worldwide hold the majority of their reserves in dollars, giving the US enormous financial influence. The dollar's dominance is reinforced by the depth and liquidity of US capital markets, the largest in the world. See how this shapes commodity pricing.
🇪🇺 Euro (EUR)
Introduced in 1999, the euro is the world's second most traded currency representing 20 eurozone countries. Managed by the European Central Bank, it is widely held as a reserve currency and is the currency of the world's largest single market. The EUR/USD pair is the most actively traded currency pair in the world.
🇯🇵 Japanese Yen (JPY)
The yen is the world's third most traded currency and a traditional safe haven in times of market stress. The Bank of Japan's low interest rate policy for decades made the yen a popular funding currency for carry trades globally — where investors borrow in yen and invest in higher-yielding assets. When risk appetite falls, carry trades unwind and the yen typically strengthens sharply.
🇬🇧 British Pound (GBP)
The pound sterling is one of the world's oldest currencies and the fourth most traded. London remains the world's largest foreign exchange trading centre by volume, handling around 38% of all global FX transactions according to the Bank of England's BIS survey data. GBP plays a significant role in international trade and finance far beyond the UK's economic size.
🇨🇳 Chinese Renminbi (CNY/CNH)
Added to the IMF's Special Drawing Rights basket in 2016, the renminbi's global role is growing alongside China's economic rise. Its offshore version (CNH) is used in international transactions. The 2025 BIS survey showed the CNY recording the largest increase of any currency — up 1.5 percentage points — driven by China's expanding Belt and Road trade relationships.
🇦🇺 Australian Dollar (AUD)
Often called the "Aussie", the AUD is closely tied to the prices of Australia's major commodity exports — iron ore, coal, and natural gas — as well as the health of the Chinese economy, Australia's largest trading partner. The Reserve Bank of Australia's interest rate decisions also drive significant AUD movements. Higher commodity prices and strong Chinese demand typically support the AUD, making it a popular proxy for risk appetite.
🇨🇦 Canadian Dollar (CAD)
Known as the "Loonie", the CAD is closely influenced by commodity prices — particularly oil, one of Canada's major exports — and by the deep integration of the Canadian and American economies. It is the fifth most held currency in global central bank reserves. Its close correlation with the USD makes it a key currency pair for investors tracking North American economic conditions. See how central bank policy drives CAD in the central banks guide.
🇨🇭 Swiss Franc (CHF)
The Swiss franc is renowned for its stability and is a preferred safe-haven asset during global financial crises. Switzerland's political neutrality, strong institutions and current account surplus underpin its status. In 2015 the Swiss National Bank shocked markets by abruptly abandoning its exchange rate cap against the euro — one of the most dramatic currency events in recent history.
🇭🇰 Hong Kong Dollar (HKD)
The HKD is pegged to the US dollar within a tight band of 7.75–7.85, maintained since 1983 by Hong Kong's Linked Exchange Rate System. This peg is backed by Hong Kong's substantial foreign exchange reserves and has survived multiple speculative attacks. Hong Kong's role as Asia's premier international financial centre drives high FX volumes. The 2025 BIS survey showed HKD turnover surging 89% as Asia's financial activity grew.
🇳🇿 New Zealand Dollar (NZD)
Known as the "Kiwi", the NZD is closely tied to New Zealand's agricultural exports — particularly dairy and meat — and to the broader Asia-Pacific trading environment. It is popular among FX traders seeking exposure to the Asia-Pacific region without the volatility of some larger Asian currencies. Interest rate decisions by the Reserve Bank of New Zealand also drive significant NZD movements.
FX share data based on BIS Triennial Central Bank Survey 2025. Percentages sum to more than 100% as each transaction involves two currencies.