London FX volume rises to a record $3 trillion, BoE survey shows

abdelaziz Fathi

Daily foreign exchange trading volumes out of London have climbed by 24 percent from the year prior, to $2.98 trillion in April 2021, the Bank of England said in its latest triennial report on the FX market.

The figure is the highest recorded since the survey began in 2004 and bested the previous record of $2.86 trillion in April 2019. This also represents a 16% increase on the $2.58 trillion turnover recorded in October 2020

The results of the latest survey also confirm that London remains the world’s biggest currency trading hub, responsible for nearly 40 percent of global volumes, with daily turnover more than triple that of its nearest rival, New York.

The uptick in volumes traded was across the board for all major currencies, according to the survey, perhaps a reflection of rising market volatility. Daily turnover in the EUR/USD, the most-traded currency pair, rose to a record $913.6 billion per day, up 17% on October 2020 survey results and 27% from a year earlier.

GBPUSD turnover also jumped by +18 percent, compared with October 2020, posting an all-time high for average daily volume at $385 billion.

Meanwhile, USD/JPY turnover increased in the six months through April 2021, having yielded a record $334.3 billion per day from $266.2 billion in October 2020, and also remains ranked the third most traded currency pair in London.

The survey also broke down volume by currency pair and showed that EUR/USD accounted for 30.4 percent of trading volumes. This was followed by GBP/USD, which accounted for 13.8 percent of volumes.

The 28 largest banks active in the UK forex market participated in the survey, which showed that most FX products saw a notable advance since the last count.

Earlier today, Foreign Exchange Committee (FXC) reported its semi-annual survey that includes FX data from leading dealers and banks in North America. Per a New York Fed filing, average daily volume in over-the-counter (OTC) foreign exchange instruments was $966 billion in April 2021, up 26 percent from the ADV figure in the year before.

Read this next

Institutional FX

B2C2 opens new office, seeks MPI license in Singapore

Cryptocurrency market maker and liquidity provider, B2C2 has expanded its operations in the Asia-Pacific (APAC) region with a new office in Singapore. The move builds on B2C2’s existing presence in Japan and other major financial centers.

Retail FX

Prop firm The Funded Trader to clear withdrawals ahead of relaunch

Prop trading firm The Funded Trader has announced a series of measures to address recent operational challenges and resume its services. The company detailed these plans in a series of tweets on X, outlining changes and updates “aimed at stabilizing and improving operations.”


Multipool Sells Out Fjord Foundry LBP

With the close of the LBP, Multipool launched their native token, $MUL, on Uniswap V3 today with a market cap of $13M.

Fundamental Analysis, Market News, Tech and Fundamental

Global FX Market Summary: FED, ECB, Global Inflation, May 27 ,2024

Central banks walk a tightrope: Fed stays hawkish on inflation, ECB eyes rate cuts but waits on data. This could cause currency swings and impact global economic growth.

Metaverse Gaming NFT

Despite $1 billion lawsuit, Cristiano Ronaldo launches new Binance NFTs

Cristiano Ronaldo has unveiled his fourth non-fungible token (NFT) collection in collaboration with Binance. The new collection is set to debut on the Binance NFT Marketplace this week, featuring highlights from Ronaldo’s football career.

Market News, Tech and Fundamental, Technical Analysis

GBPJPY Technical Analysis Report 27 May, 2024

GBPJPY currency pair can be expected to rise further toward the next resistance level 202.00, which is the target price for the completion of the active impulse wave 3

Digital Assets

Celebrity X accounts hacked to promote meme tokens

Several celebrity and influencer X accounts on social media platforms have been hacked, with the attackers promoting various cryptocurrencies and meme tokens.

Digital Assets

Silk Road founder to walk free if Trump re-elected

Donald J. Trump has vowed to commute the life sentence of Silk Road founder Ross Ulbricht to time served if he is re-elected as president.

Industry News

UF AWARDS Global 2024: Nominations Closing Soon!

There is still time to nominate your brand at this year’s prestigious UF AWARDS Global 2024.