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Dividend Adjustment Notice – Mar 20 ,2025

Dear Client,

Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume”.

Please refer to the table below for more details:

Dividend Adjustment Notice

The above data is for reference only, please refer to the MT4/MT5 software for specific data.

If you’d like more information, please don’t hesitate to contact info@vtmarkets.com.

Forex market analysis: 19 March 2025

Midweek trading will be dominated by the highly anticipated Federal Reserve interest rate decision, setting the tone for global markets. Investors will also analyse economic data from China and the US, looking for further signs of economic momentum or slowdown. Expect heightened volatility across equities, bonds, and forex markets.

KEY INDICATORS

Federal Reserve interest rate decision & economic projections

  • The Fed will announce its policy decision, with markets closely watching for any changes in interest rates.
  • The FOMC economic projections (dot plot) will provide insights into the Fed’s future rate path.
  • Fed Chair Jerome Powell’s press conference will be key in shaping market sentiment.

China industrial production & retail sales (February)

  • Indicators of post-holiday economic activity and consumer demand.
  • A slowdown could trigger concerns about weaker global growth, affecting commodities and Asian markets.

US crude oil inventories

  • A key report for energy markets, influencing oil prices and inflation expectations.

MARKET MOVERS

EUR/USD

Possible short preference

Short positions below 1.08759 with targets at 1.08554 and 1.08332 in extension.

Alternative scenario

Above 1.09211, look for further upside with 1.09412 and 1.09640 as targets.

The RSI calls for a new downleg.

Dollar weakens ahead of Fed meeting; euro gains ahead of German debt vote

  • The US dollar edged lower on Tuesday ahead of the start of the latest Federal Reserve meeting, while the euro gained ahead of an expected vote on Germany’s substantial stimulus plan.
  • At 9:00 AM GMT, the Dollar Index, which tracks the greenback against a basket of six other currencies, traded 0.1% lower at 102.890, remaining above last week’s five-month low.
  • In Europe, EUR/USD traded 0.3% higher at 1.0951, near its highest level since October, ahead of a scheduled parliamentary vote on Germany’s economic support package.
  • GBP/USD rose 0.1% to 1.3001, climbing above the 1.30 level for the first time since November.
  • The Bank of England is widely expected to keep interest rates unchanged on Thursday after inflation edged higher last month.
  • In Asia, USD/JPY climbed 0.3% to 149.70 ahead of the conclusion of the latest Bank of Japan meeting on Wednesday.

Oil slips after US-Russia agreement on 30-day energy ceasefire

Oil prices fell on Wednesday after Russia agreed to US President Donald Trump’s proposal that Moscow and Kyiv temporarily stop attacking each other’s energy infrastructure, which could lead to more Russian oil entering global markets.

  • Brent crude futures fell 23 cents, or 0.3%, to USD 70.33 a barrel by 07:30 GMT.
  • US West Texas Intermediate crude (WTI) was down 25 cents, or 0.4%, at USD 66.65.

Russian President Vladimir Putin agreed on Tuesday to stop attacking Ukrainian energy facilities but stopped short of endorsing a full 30-day ceasefire that Trump had hoped for.

US crude oil stocks data, meanwhile, painted a mixed picture, with crude stocks rising while fuel inventories fell.

Crude Oil WTI

Possible short preference

Short positions below 66.04, with targets at 65.81 and 65.46 in extension.

Alternative scenario

Above 66.55, look for further upside with 66.85 and 67.10 as targets.

The RSI advocates for further downside.

TODAY’S NEWS HEADLINES

Gold prices hit record high as haven demand grows ahead of Fed rate decision

  • Gold prices rose slightly to a record high in Asian trade on Wednesday, as safe-haven demand remained underpinned by renewed geopolitical ructions in the Middle East and concerns over trade tariffs.
  • Investors also remained largely risk-averse before the conclusion of a Federal Reserve meeting later on Wednesday, which is expected to offer more insight into the US economy.
  • Spot gold rose 0.1% to a record high of USD 3,039.0 an ounce.
  • Gold futures expiring in May rose 0.1% to a peak of USD 3,046.12 an ounce.
  • The Fed is widely expected to keep interest rates unchanged at 4.5% after the conclusion of its meeting later on Wednesday, amid persistent uncertainty over the US economy under Trump.
  • Platinum futures fell 0.4% to USD 1,016.90 an ounce.
  • Silver futures fell 0.5% to USD 34.55 an ounce.

Europe stocks close higher as Germany passes landmark fiscal package; Trump and Putin hold call

  • European markets closed higher on Tuesday, with investor focus on Germany’s historic debt reform deal and a closely watched phone call between US President Donald Trump and Russian leader Vladimir Putin.
  • European stocks on the Stoxx 600 index closed higher for a third straight session, adding another 0.59%, provisionally.
  • Germany’s DAX closed 1.03% higher.
  • France’s CAC 40 closed 0.5% higher.
  • The UK’s FTSE 100 ended 0.29% higher.

Asia-Pacific markets rise as Hong Kong tech stocks rally; Baidu shares pop 12%

  • Asia-Pacific markets rose on Tuesday, tracking gains on Wall Street, which ticked up after US retail sales data appeared to ease recession concerns.
  • Hong Kong’s Hang Seng Index led gains in Asia, rising 2.29% in its last hour on the back of strong moves in tech giants like Baidu, which was up 12.11% as of 3:45 p.m. local time.
  • Meanwhile, mainland China’s CSI 300 advanced 0.27% to end the day at 4,007.72.
  • The BOJ’s two-day meeting coincides with the US Federal Reserve, with the latter also expected to keep interest rates unchanged.
  • Japan’s benchmark Nikkei 225 ended the day 1.20% higher at 37,845.42.
  • Over in South Korea, the Kospi index closed flat at 2,612.34, while the small-cap Kosdaq added 0.27% to end at 745.54.
  • Australia’s S&P/ASX 200 ended the day flat at 7,860.40, paring gains from earlier in the session.

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Dividend Adjustment Notice – Mar 19 ,2025

Dear Client,

Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume”.

Please refer to the table below for more details:

Dividend Adjustment Notice

The above data is for reference only, please refer to the MT4/MT5 software for specific data.

If you’d like more information, please don’t hesitate to contact info@vtmarkets.com.

Forex market analysis: 18 March 2025

WTI crude oil prices are under pressure as market sentiment weakens due to shifting global supply expectations. With Russia potentially increasing exports and OPEC set to raise production, traders are concerned about oversupply driving prices lower.

At the same time, rising US crude inventories point to a slowdown in demand, adding to the uncertainty. In this analysis, we explore the key factors influencing crude oil prices, the latest technical trends, and what traders should watch for in the coming days.

WTI crude oil declines amid Russian supply outlook and OPEC decision

WTI crude oil futures continued their downward trajectory, hitting a low of USD 66.42 per barrel on Tuesday.

The market reacted to reports that Russian President Vladimir Putin agreed to halt strikes on Ukrainian energy infrastructure but dismissed a proposed 30-day ceasefire.

This development has fuelled speculation that Western sanctions on Russian oil exports may ease in the near future, potentially increasing global supply and exerting further downward pressure on prices.

Additionally, OPEC’s announcement to boost production from next month has added to the bearish sentiment.

The prospect of higher output from both Russia and OPEC raises concerns of oversupply, making traders hesitant to take bullish positions.

Technical analysis

WTI crude oil settled at USD 66.570, marginally lower than its opening price of USD 66.572, after fluctuating between a session high of USD 66.710 and a low of USD 66.420.

Crude oil struggles at 66.570 as selling pressure mounts, with resistance seen near 67.50, as seen on the VT Markets app.

Prices initially climbed to USD 68.48 before pulling back sharply, reflecting ongoing demand concerns and a stronger US dollar.

Moving averages (5, 10, and 30) indicate a sustained downtrend, as short-term MAs have crossed below longer-term averages, reinforcing bearish momentum.

The MACD (12,26,9) histogram remains negative, with the signal line trending downward, suggesting continued selling pressure.

Key support lies near USD 66.00, and a break below this level could push prices toward USD 65.50.

On the upside, resistance is observed at USD 67.50, with a breakout potentially signalling a short-term rebound.

Rising US crude inventories signal softening demand

Further weighing on crude oil prices, recent industry reports have shown larger-than-expected builds in US crude inventories.

This indicates a slowdown in demand amid persistent global economic uncertainties.

Trade disputes and economic headwinds continue to pose risks, prompting caution among traders who are closely monitoring signs of further demand weakness.

Market outlook

In the short term, WTI crude oil may remain under pressure as Russian supply expectations and OPEC’s production increase contribute to concerns of an oversupplied market.

However, traders should stay vigilant for any geopolitical developments, particularly in the Middle East, which could trigger sudden price swings.

Additionally, upcoming inventory reports and key global economic data will play a crucial role in shaping market direction.

Click here to open account and start trading.

Dividend Adjustment Notice – Mar 18 ,2025

Dear Client,

Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume”.

Please refer to the table below for more details:

Dividend Adjustment Notice

The above data is for reference only, please refer to the MT4/MT5 software for specific data.

If you’d like more information, please don’t hesitate to contact info@vtmarkets.com.

Forex market analysis: 17 March 2025

The new trading week kicks off with key economic data from Europe and the US, setting the tone for market sentiment ahead of the highly anticipated Federal Reserve policy meeting later in the week. Investors will be closely watching inflation trends and housing market indicators for clues on economic momentum.

KEY INDICATORS

Eurozone final CPI (February)

  • A confirmation of inflation trends in the eurozone.
  • Any surprises could impact European Central Bank (ECB) rate expectations and the euro.

US NAHB housing market index (March)

  • A key measure of sentiment among homebuilders.
  • Could provide insights into the strength of the US housing sector amidst interest rate uncertainty.

Market positioning ahead of the Federal Reserve meeting

  • With the Fed set to announce its rate decision on Wednesday, investors may adopt a cautious stance.
  • Potential positioning in bonds, equities, and the US dollar in anticipation of policy signals.

MARKET MOVERS

XAU/USD

Possible long preference
Long positions above 2996.44 with targets at 3006.05 & 3018.74 in extension.
Alternative scenario
Below 2980.30 look for further downside with 2967.23 & 2948.59 as targets.
A support base at 2980.30 has formed and has allowed for a temporary stabilisation.

Gold prices hover around USD 3,000; UBS lifts its price target

  • Gold prices fell slightly in Asian trade on Monday after surging to record highs, as safe-haven demand remained underpinned by uncertainty over trade tariffs and a slowing economy.
  • Gold also saw some profit-taking after reaching record highs above USD 3,000 an ounce last week.
  • Spot gold rose slightly to USD 2,997.25 an ounce.
  • Gold futures expiring in April climbed to USD 3,004.70 an ounce by 10:38 AM GMT. Spot prices hit a record high of USD 3,005.08 an ounce on Friday.
  • Benchmark copper futures on the London Metal Exchange rose 0.1% to USD 9,805.40 a tonne.
  • May copper futures were flat at USD 4.8950 a pound.

Oil, dollars, and debt: how safe is the Middle East from the global trade war?

  • For the Middle East, which has been spared from tariffs (so far), there are still reasons to worry – as well as potential opportunities.
  • The blow to growth from a trade war is likely to hurt the price of oil – the mainstay of the region’s economy.
  • There are also immediate costs for countries whose currencies are pegged to the dollar – Saudi Arabia, the UAE, Qatar, Oman, and Bahrain.

The direct impact of tariffs, such as US levies on steel and aluminium imports, remains minimal for the Middle East, economists say. The Gulf region, for instance, accounted for roughly 16% of US aluminium imports in 2024.

Crude Oil WTI

Possible long preference
Long positions above 67.98 with targets at 68.49 & 69.15 in extension.
Alternative scenario
Below 66.88 look for further downside with 66.47 & 65.88 as targets.
The RSI is bullish and calls for further advance.

TODAY’S NEWS HEADLINES

US stocks stable after retail sales rebound; Fed meeting due

  • US stocks stabilised on Monday after last week’s losses, but investors remained concerned that uncertainty over trade tariffs could weigh heavily on the world’s largest economy.
  • At 1:35 PM GMT, the Dow Jones Industrial Average gained 100 points, or 0.2%.
  • The S&P 500 index rose 11 points, or 0.2%.
  • The Nasdaq Composite edged 10 points higher, or 0.1%.
  • The Nasdaq sank deeper into correction territory last week, while the S&P 500 also briefly entered correction territory. Meanwhile, the Dow had its biggest one-week drop since 2023, losing 4.4%.

European markets rise ahead of German debt reform vote; QinetiQ down 20%

  • European stocks started the new trading week in positive territory, although investors will be watching to see if global market volatility continues.
  • The pan-European Stoxx 600 index was up around 0.8% by 1:50 a.m. London time, with most sectors moving higher.
  • European markets ended last week higher after reports that German lawmakers were moving closer to reforming the country’s so-called debt brake rule.
  • Investors will be closely monitoring US markets this week after the Dow posted its worst weekly performance since 2023, as investors grapple with President Donald Trump’s shifting tariff policies alongside growing signs of economic weakness.

Asia-Pacific markets mostly climb; 40-year JGB yield hits record high

  • Asia-Pacific markets mostly climbed on Monday, with investors keeping a close watch on Chinese equities.
  • Mainland China’s CSI 300 closed 0.24% lower at 3,996.79.
  • Hong Kong’s Hang Seng Index rose 0.77% in its final hour of trading.
  • In Japan, the benchmark Nikkei 225 ended the day 0.93% higher at 37,396.52.
  • Over in South Korea, the Kospi index advanced 1.73% to close at 2,610.69.
  • India’s benchmark Nifty 50 ticked up 0.35%.
  • Australia’s S&P/ASX 200 ended the day 0.83% higher at 7,854.10.

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Week ahead: Fed decision and inflation data set to steer global markets

Next week, global markets will be driven by key central bank decisions, economic data releases, and geopolitical developments. Investors will focus on the Federal Reserve’s policy outlook, inflation reports, and economic activity indicators from major economies. Volatility is expected across equities, forex, and commodities as markets respond to these crucial events.

KEY INDICATORS

Monday, 17 March

  • Eurozone final CPI (February) – Confirms inflation trends ahead of the ECB’s next policy move.
  • US NAHB housing market index (March) – Provides insights into the health of the US real estate sector.

Wednesday, 19 March

  • Federal Reserve interest rate decision & economic projections – Markets will focus on Fed Chair Powell’s comments for signals on future rate moves.
  • Market reaction – Potential impact on equities, bonds, and the US dollar.

Thursday, 20 March

  • Bank of England (BoE) interest rate decision – The BoE’s stance on inflation and potential rate cuts will be closely watched.
  • US jobless claims & existing home sales (February) – Labour market trends and housing market strength will influence market sentiment.

Chinese stocks close at three-month high, leading gains in Asia, despite fall on Wall Street

  • Asia-Pacific markets mostly rose on Friday, despite a plunge in all three benchmarks in the US over the previous session amid concern about President Donald Trump’s tariff plans.
  • Mainland China’s CSI 300 led gains in Asia, rising 2.43% to end the day at a three-month high of 4,006.56. This follows stronger movements in the healthcare, consumer cyclicals, and non-cyclicals sectors.
  • Hong Kong’s Hang Seng Index rose 2.12% to end the day at 23,959.98.
  • In Japan, the benchmark Nikkei 225 ended the day 0.72% higher at 37,053.10, while the broader Topix index rose 0.65% to 2,715.85.
  • South Korea’s Kospi index lost 0.28% to close at 2,566.36, while the small-cap Kosdaq advanced 1.59% to 734.26.
  • Australia’s S&P/ASX 200 ended the trading day 0.52% higher at 7,789.70.

Dollar edges higher ahead of Michigan sentiment data; euro slips

  • The US dollar edged higher on Friday amid growing expectations that a government shutdown can be averted, while the euro handed back recent gains amid concerns that a global trade war risks a sharp regional economic downturn.
  • At 9:15 AM GMT, the Dollar Index, which tracks the greenback against a basket of six other currencies, traded 0.2% higher at 103.982, moving further away from Tuesday’s trough of 103.21, its lowest since mid-October.
  • The greenback has fallen more than 4% so far this year, retreating from the six-month high seen in January, as the uncertainty surrounding the Trump administration’s trade policies raised fears of a US recession.
  • In Europe, EUR/USD traded marginally lower at 1.0851, sliding further from Tuesday’s five-month peak as the EU-US trade spat rattled traders and after Germany struggled to pass a massive spending proposal.

MARKET MOVERS

Crude Oil WTI

Potential short preference
Short positions below 66.56 with targets at 66.16 & 65.48 in extension.
Alternative scenario
Above 67.42 look for further upside with 67.88 & 68.48 as targets.
The RSI is below its neutrality area at 50%

XAU/USD

Potential long preference
Long positions above 2997.21 with targets at 3005.29 & 3016.05 in extension.
Alternative scenario
Below 2978.38 look for further downside with 2962.38 & 2945.51 as targets.
The next resistances are at 3005.29 and then at 3016.05.

Technical indicators

DAX40

The long preference
Long positions above 23014.0 with targets at 23105.6 & 23210.7 in extension.
Alternative scenario
Below 22888.8 look for further downside with 22785.9 & 22631.7 as targets.
A support base at 22785.9 has formed and has allowed for a temporary stabilisation.

NEWS HEADLINES

US stocks climb with government shutdown likely averted, consumer sentiment slips

  • US stocks rose on Friday, bouncing back at the end of the week after the bellwether S&P 500 index slipped into correction territory on concerns over an escalating trade war and potential recession.
  • At 1:45 PM GMT, the Dow Jones Industrial Average traded 270 points, or 0.7%, higher.
  • The S&P 500 index rose 68 points, or 1.2%.
  • The NASDAQ Composite gained 295 points, or 1.7%.
  • The S&P 500 closed 1.4% lower on Thursday, entering correction territory, which is typically defined as a 10% fall from a recent peak.
  • The Dow is on track for its second straight losing week and its worst weekly decline since June 2022. This would be the fourth consecutive negative week for the S&P 500 and Nasdaq.

Oil prices set to end the week stable as investors mull path to Ukraine ceasefire

  • Oil prices edged higher on Friday after a more than 1% loss in the previous session, as investors weighed the diminishing prospects of a quick end to the Ukraine war that could bring more Russian energy supplies back to Western markets.
  • Brent crude futures were up 36 cents, or 0.52%, to USD 70.24 per barrel at 3:30 PM GMT, after settling 1.5% lower in the previous session.
  • US West Texas Intermediate (WTI) crude was at USD 66.94 per barrel, up 39 cents, or 0.59%, after closing 1.7% lower on Thursday.
  • Prices are set to end the week relatively stable, with Brent settling at USD 70.36 and WTI at USD 67.04 last Friday.

Gold prices break USD 3,000/oz level, new record high on tariff fears

  • Gold prices surged to an all-time high on Friday, breaking through the key USD 3,000 per ounce level, supported by US President Donald Trump’s fresh tariff threats, while soft US inflation data further lifted sentiment.
  • At 12:30 AM GMT, spot gold was up 0.6% at USD 3,009.11 per ounce, after reaching a fresh record high of USD 3,017.11 earlier in the session.
  • Gold futures expiring in April gained 0.3% to USD 2,998.78 per ounce.
  • Platinum futures rose 0.9% to USD 1,015.00 per ounce.
  • Silver futures gained 1.3% to USD 34.755 per ounce.

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Dividend Adjustment Notice – Mar 17 ,2025

Dear Client,

Please note that the dividends of the following products will be adjusted accordingly. Index dividends will be executed separately through a balance statement directly to your trading account, and the comment will be in the following format “Div & Product Name & Net Volume”.

Please refer to the table below for more details:

Dividend Adjustment Notice

The above data is for reference only, please refer to the MT4/MT5 software for specific data.

If you’d like more information, please don’t hesitate to contact info@vtmarkets.com.

Top 10 Strongest Currencies in the World in 2025

Top 10 Most Powerful Currencies in the World

Currencies play a crucial role in global finance, affecting trade, investment, and economic stability. While many assume the US Dollar (USD) or Euro (EUR) is the most valuable currency in the world, the reality is quite different. Some currencies surpass them in exchange rate value due to strong economic policies, financial stability, and trade advantages. In this article, we will explore the top 10 strongest currencies in the world, what makes them valuable, and how traders can take advantage of currency fluctuations.

What Defines Whether a Currency Is Strong or Weak?

A currency’s strength is determined by its exchange rate against major global currencies like the USD and EUR. However, several economic, financial, and geopolitical factors contribute to its actual value, demand, and stability.

Economic Stability: Countries with strong GDP growth, low unemployment, and controlled inflation tend to have stronger currencies. A stable economy boosts investor confidence, increasing demand for the currency.

Foreign Exchange Reserves: Nations with large reserves of gold, foreign currencies, and financial assets can better manage market fluctuations and maintain currency stability. Higher reserves signal economic strength.

Interest Rates & Monetary Policy: Higher interest rates attract foreign investment, increasing demand for a currency. Central banks play a crucial role in adjusting rates to control inflation and maintain stability.

Trade Balance & Global Demand: A trade surplus—where exports exceed imports—leads to increased demand for a country’s currency. Oil-rich nations like Kuwait and Bahrain benefit from strong exports, keeping their currencies highly valued.

Top 10 Strongest Currencies in the World in 2025

Currencies are valued based on economic strength, monetary policies, and global demand. While USD and EUR dominate global trade, several currencies have higher exchange rates due to oil wealth, financial stability, and controlled currency pegs. This ranking is accumulated as of March 2025, and exchange rates may fluctuate over time due to market conditions, interest rate changes, and geopolitical events.

RankCurrencyCurrency CodeExchange Rate (USD)Exchange Rate (EUR)
1Kuwaiti DinarKWD3.252.98
2Bahraini DinarBHD2.652.44
3Omani RialOMR2.592.38
4Jordanian DinarJOD1.411.29
5British PoundGBP1.291.18
6Gibraltar PoundGIP1.291.18
7Cayman Islands DollarKYD1.201.10
8Swiss FrancCHF1.131.03
9EuroEUR1.081
10US DollarUSD10.91

1. Kuwaiti Dinar (KWD) – Strongest Currency in the World

The Kuwaiti Dinar (KWD) is the strongest currency in the world and has maintained this status due to Kuwait’s vast oil reserves and high GDP per capita. The nation is a major oil exporter, and petroleum accounts for nearly 90% of government revenue. To maintain stability, the KWD is pegged to a basket of currencies rather than a single currency, allowing for more flexibility in fluctuating global markets. During the Gulf War in 1990, the KWD was temporarily removed from circulation, but it was restored after Kuwait’s liberation and has remained the highest-valued currency globally ever since.

2. Bahraini Dinar (BHD)

The Bahraini Dinar (BHD) is one of the strongest currencies in the world, largely due to Bahrain’s wealth in oil production and its diversified financial sector. Unlike many resource-rich nations, Bahrain has also developed a strong banking industry and is recognized as a hub for Islamic finance. The currency is pegged to the US Dollar, which helps ensure stability in exchange rates. Expatriates working in Bahrain often benefit from its strong value when sending remittances abroad.

3. Omani Rial (OMR)

The Omani Rial (OMR) is one of the highest-valued currencies, primarily due to Oman’s strategic control over oil and gas exports. The country’s economy relies heavily on energy production, and its currency is pegged to the US Dollar, which helps maintain financial stability. The high value of the Omani Rial has resulted in the introduction of ¼ and ½ Rial banknotes, making smaller denominations more practical for daily transactions.

4. Jordanian Dinar (JOD)

The Jordanian Dinar (JOD) has remained strong despite Jordan not being an oil-producing nation. Its strength comes from a stable banking system and consistent monetary policies. The JOD has been pegged to the US Dollar for decades, ensuring a reliable and predictable exchange rate. In some areas of Jordan, the Israeli Shekel and US Dollar are also widely accepted, but the Dinar remains the strongest and most stable currency in the country.

5. British Pound (GBP)

The British Pound Sterling (GBP) is one of the oldest and most widely traded currencies in the world. Its strength is backed by the UK’s robust financial sector, global economic influence, and high investor confidence. Unlike many other currencies, the GBP is not pegged, meaning it fluctuates freely based on market conditions. The City of London’s financial hub plays a major role in keeping the Pound valuable, making it one of the most desirable currencies for international trade and investment.

6. Gibraltar Pound (GIP)

The Gibraltar Pound (GIP) is fully pegged to the British Pound Sterling (GBP) at a 1:1 ratio, meaning its value mirrors that of GBP. Gibraltar, a British Overseas Territory, has a stable economy driven by tourism, finance, and online gaming industries. Although the Gibraltar Pound is the official currency, British Pounds are widely accepted across Gibraltar, making them interchangeable within the region.

7. Cayman Islands Dollar (KYD)

The Cayman Islands Dollar (KYD) is the currency of one of the world’s largest offshore financial centers. The Cayman Islands is home to hundreds of international banks, investment funds, and corporate entities, contributing to its currency’s high valuation. The KYD is pegged to the USD, which ensures stability. With no income tax, capital gains tax, or corporate tax, the Cayman Islands remains a preferred destination for financial institutions and high-net-worth individuals.

8. Swiss Franc (CHF)

The Swiss Franc (CHF) is considered a safe-haven currency due to Switzerland’s strong economy, political neutrality, and world-renowned banking system. Unlike most modern currencies, the Swiss Franc was historically backed by gold, and although it is no longer directly tied to gold reserves, Switzerland still holds large amounts of gold as part of its monetary policy. During times of global economic uncertainty, investors often move their funds to CHF due to its stability and low inflation rates.

9. Euro (EUR)

The Euro (EUR) is the official currency of 20+ European nations, making it one of the most traded currencies in the world. Its strength comes from the combined economic power of the Eurozone, with major economies like Germany, France, and Italy backing its value. The European Central Bank (ECB) regulates the Euro, ensuring financial stability and low inflation. The Euro simplifies cross-border trade and travel within Europe, eliminating currency exchange risks. It is also widely used in global financial transactions and held as a secondary reserve currency by central banks worldwide.

10. US Dollar (USD)

The US Dollar (USD) is the world’s most widely used currency, accounting for over 60% of global forex reserves. Its strength is driven by the size and stability of the US economy, which is the largest in the world. The US Federal Reserve (Fed) influences global markets through its monetary policies, further reinforcing the Dollar’s dominance. The USD is the main currency for international trade and commodities like oil and gold, requiring countries to exchange their local currency for USD. Many emerging markets peg their currency to the Dollar, ensuring stability in financial transactions.

Discover whether forex trading is profitable

How to Start Trading Currencies?

Trading the strongest currencies in the world requires knowledge, strategy, and the right forex trading platform. Here’s how to get started:

1. Understand the Forex Market

Forex trading involves buying and selling currency pairs based on exchange rate movements. Strong currencies like KWD, BHD, and CHF are often traded against major pairs like EUR/USD. Understanding market trends and volatility is essential.

2. Choose a Reliable Forex Broker

A trusted forex broker provides access to tight spreads, fast execution, and advanced trading tools. Brokers like VT Markets offer a secure and user-friendly platform, allowing traders to execute trades efficiently on major currencies.

3. Open & Fund Your Forex Trading Account

To start trading, register an account with a regulated broker and deposit funds via bank transfers, credit cards, or e-wallets.

4. Choose the Right Forex Trading Strategies

Each forex trading strategy has its own uniqueness. Whether it’s trend following for long-term moves, scalping for quick profits, or swing trading for mid-term trades, choosing a strategy depends on your trading goals and the risk tolerance that best suits you.

5. Utilise Risk Management Tools

Risk management is crucial in forex trading. Setting stop-loss and take-profit orders can help limit potential losses and secure profits. Diversify your portfolio with a mix of strong and stable currencies to reduce exposure.

6. Stay Informed with Global Economic Events

Currency values are affected by interest rates, inflation reports, and geopolitical events. Staying updated with economic news and financial reports helps traders make informed decisions.

New to forex trading? Learn how to trade forex for beginners.

Conclusion

A currency’s strength is largely influenced by economic stability, foreign exchange reserves, and monetary policies. The Kuwaiti Dinar (KWD) remains the strongest currency and the highest-valued currency in the world, holding the highest exchange rate. Oil-rich nations like Kuwait, Bahrain, and Oman benefit from trade surpluses and controlled currency pegs, keeping their currencies highly valued.

Trade the World’s Strongest Currencies with VT Markets

VT Markets offers a professional trading environment where traders can access the strongest currencies in the world with low spreads and advanced trading tools. The platform supports MetaTrader 4 (MT4) and MetaTrader 5 (MT5), providing traders with powerful charting capabilities and technical indicators features for a seamless trading experience. Whether you’re a beginner or an experienced trader, VT Markets provides the right tools to trade the world’s strongest currencies with confidence.

Start trading currencies today with VT Markets and take advantage of market opportunities!

Frequently Asked Questions (FAQs)

1. What is the strongest currency in the world?

The Kuwaiti Dinar (KWD) is the strongest currency in the world, valued at 3.25 USD per 1 KWD.

2. What is the most expensive currency in the world?

The Kuwaiti Dinar (KWD) is the most expensive currency, with the highest exchange rate globally due to Kuwait’s strong oil exports and stable economy.

3. Why is the US Dollar not the strongest currency?

The USD is the most traded currency, but not the strongest in exchange rate. KWD, BHD, and OMR have higher valuations due to currency pegs and oil-backed economies.

4. Are the strongest currencies always the best to trade?

Not necessarily. While strong currencies offer stability, forex traders often seek volatility and liquidity for trading opportunities. The USD, GBP, and EUR are among the most traded due to their high liquidity.

5. What is the highest currency in the world?

The highest currency by exchange rate is also the Kuwaiti Dinar (KWD), consistently holding the top position due to its peg to a currency basket and strong economic backing.

6. How can I trade the currencies?

You can trade currencies through a regulated forex broker like VT Markets, which offers tight spreads, fast execution, and access to strong and liquid currency pairs

7. What are the most volatile forex pairs?

The most volatile forex pairs include GBP/JPY, EUR/JPY, and AUD/JPY, which have large price swings due to economic events.

8. What is the difference between the strongest and most traded currencies?

The strongest currencies have high exchange rates against the USD, whereas the most traded currencies are those used in global trade, forex markets, and financial reserves (e.g., USD, EUR, JPY, GBP, CHF).

9. What are the most traded currency pairs in the world?

The most traded currency pairs are those with the highest trading volume, driven by economic influence and global demand. The top eight most traded pairs are:

  • EUR/USD (Euro / US Dollar)
  • USD/JPY (US Dollar / Japanese Yen)
  • GBP/USD (British Pound / US Dollar)
  • USD/CHF (US Dollar / Swiss Franc)
  • AUD/USD (Australian Dollar / US Dollar)
  • USD/CAD (US Dollar / Canadian Dollar)
  • NZD/USD (New Zealand Dollar / US Dollar)
  • EUR/GBP (Euro / British Pound)

An Exclusive Matchday Experience, Crafted by VT Markets – NUFC vs Everton

Join VT Markets for an exclusive 6-day football journey across the UK from May 22–27, 2025.

Begin in London with a welcome dinner and city tour, then travel to Newcastle for an exclusive experience with our partners, Newcastle United. Enjoy a training ground visit, a possible stadium tour, and the main highlight—matchday at St. James’ Park as NUFC takes on Everton, followed by a post-match party.

Wrap up with a media event and meet-and-greet, leaving with unforgettable memories of Premier League action and VT Markets hospitality.

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