eurusd

EURUSD is the currency pair that expresses how many United States dollars are required to purchase one euro. It is the most traded pair in the foreign exchange market and is categorized as a major pair alongside other highly liquid currencies. In quotes, the base currency is the euro and the quote currency is the US dollar.

Trading is characterized by very high liquidity and relatively tight spreads, especially during the combined London and New York sessions. The pair is available for trading around the clock on weekdays in most major brokers. Prices are commonly quoted to four decimal places, with an increment of 0.0001 (one pip); some platforms also display fifth digits as pipettes.

Prices move in response to macroeconomic data and central bank policy from the European Central Bank and the Federal Reserve, as well as broader risk sentiment and global geopolitical developments. Factors such as inflation, growth, employment, and political events in the euro area or the United States can push EURUSD up or down.

EURUSD originated with the introduction of the euro in 1999 and quickly became the most liquid and widely referenced currency pair. It serves as a key benchmark for euro exposure and is frequently used for hedging and for expressing macro views on the euro zone or the dollar.

Traders monitor EURUSD as an indicator of the relative strength of the euro versus the dollar and as a vehicle to implement a wide range of trading strategies, from short-term scalping to longer-term positioning.