Author: The Forex Feed

The Australian dollar has edged lower on Friday. In the European session, AUD/USD is trading at 0.6198, down 0.22% at the time of writing.

Will strong China numbers boost the Aussie?

There was good news out of China on Friday, highlighted by GDP which was stronger than expected. The economy expanded by 5.4% y/y in the fourth quarter, up from 4.6% in Q3 and above the market estimate of 5.0%. This was the strongest pace of growth since Q2 2023. Industrial production jumped 6.2% in December, up from 5.4% in November and above the forecast of 5.4%. Finally, retail sales climbed 3.7% in December, compared to 3.0% a month earlier and blowing past the forecast of 3.0%.

The solid numbers out of China are a result of the government’s aggressive stimulus measures to kick-start the economy and no less important, boost business and consumer confidence. One strong month does not mean that China’s economic problems are over but the positive data is clearly a step in the right direction.

China’s exports rose in December jumped 10.7% which was higher than expected. Much of the gain was due to manufacturers rushing to fill orders ahead of Donald Trump taking office next week. Trump has threatened to slap China with tariffs and demonstrated in his first presidential term that he was willing to engage in a nasty trade war with China.

The improvement in China’s economy is good news for Australia, as China is its largest trading partner. China’s bumpy recovery since the Covid pandemic has led to lower demand for imports and Australia’s crucial export sector has felt the pinch. If China has turned the corner, it will be good news for Australian exporters and should provide a boost to the ailing Australian dollar, which has plunged 10.5% against the US dollar since October 1.

AUD/USD Technical

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.

2025.01.17 2025.01.17
USD/CHF: Elliott Wave Analysis and Forecast for 17.01.25 – 24.01.25

Alex Geutahttps://www.litefinance.org/blog/authors/alex-geuta/

Major Takeaways

• Main scenario: Consider short positions from corrections below the level of 0.9201 with a target of 0.8724 – 0.8386. A sell signal: the price holds below 0.9201. Stop Loss: above 0.9245, Take Profit: 0.8724 – 0.8386.
• Alternative scenario: Breakout and consolidation above the level of 0.9201 will allow the pair to continue rising to the levels of 0.9340 – 0.9530. A buy signal: the level of 0.9201 is broken to the upside. Stop Loss: below 0.9150, Take Profit: 0.9340 – 0.9530.

Main Scenario

Consider short positions from corrections below the level of 0.9201 with a target of 0.8724 – 0.8386.

Alternative Scenario

Breakout and consolidation above the level of 0.9201 will allow the pair to continue rising to the levels of 0.9340 – 0.9530.

Analysis

A bearish fifth wave of larger degree 5 is developing on the weekly chart, with wave (5) of 5 forming as its part. On the daily chart, a correction is presumably complete as the second wave 2 of (5), with wave c of 2 formed as its part. Apparently, the third wave 3 of (5) started developing on the H4 time frame. If this assumption is correct, the USD/CHF pair will continue to fall to 0.8724 – 0.8386. The level of 0.9201 is critical in this scenario. Its breakout will allow the pair to continue rising to the levels of 0.9340 – 0.9530.

This forecast is based on the Elliott Wave Theory. When developing trading strategies, it is essential to consider fundamental factors, as the market situation can change at any time.

Price chart of USDCHF in real time mode

(Corrects the size of a possible BOJ rate increase in paragraph 2 to 25 basis points, not 50 basis points)

By Laura Matthews

NEW YORK (Reuters) -The U.S. dollar weakened against the yen on Thursday, as softer-than-expected U.S. economic data and growing confidence for a Bank of Japan interest-rate hike sent it tumbling to a near one-month low against the Japanese currency.

Recent remarks from BOJ Governor Kazuo Ueda and his deputy Ryozo Himino have made clear that a hike will at least be discussed at next week’s policy meeting. Markets see about a 79% chance of a 25-basis-point increase.

Japan’s annual wholesale inflation held steady at 3.8% in December on stubbornly high food costs, data showed on Thursday.

The greenback was down 0.81% against the yen at 155.2, its lowest since Dec. 19.

“We anticipated that there would be a nuanced U.S. dollar behavior, that () would likely be stronger relative to a number of currencies, but would be weaker relative to the Japanese yen,” said Kristina Hooper, chief global market strategist, at Invesco U.S. “I think the general direction for JPY and the general direction for the dollar suggests that we will have a stronger yen to dollar.”

The dollar was weaker against the euro, which rose 0.1% to $1.03, as traders digested a slew of mixed economic news to gauge the outlook for the Federal Reserve’s rate cuts this year.

U.S. retail sales rose 0.4% last month after upward revisions the previous month, data from the Commerce Department’s Census Bureau showed.

Meanwhile, the number of Americans filing new applications for unemployment benefits increased more than expected last week, but remained at levels showing a healthy labor market.

The Philadelphia Fed Business Index, which jumped to 44.3 in January, was the lone surprise as the forecast was for a reading of minus 5.

That left – a measure of the value of the greenback relative to a basket of foreign currencies – down 0.05% at 108.97.

Amo Sahota, director at Klarity FX in San Francisco, said Wednesday’s softer consumer prices data continues to drive the markets’ tone, driving expectations that the Fed would still be pushing towards two rate cuts this year.

But the sign of disinflation is happening when inflation could re-escalate, depending on the incoming administration’s trade policy.

“The markets are generally in a slightly more upbeat mood, but in a holding pattern here until we get through Monday,” said Sahota.

That’s when Donald Trump returns to the White House with some policies analysts expect will boost growth as well as increase price pressure.

Another focus for markets on Thursday, was the nomination hearing of Trump’s choice of Scott Bessent to head the Treasury Department.

Bessent is expected to keep a leash on U.S. deficits and to use tariffs as a negotiating tool, mitigating the expected inflationary impact of economic policies expected from the Trump administration.

“So far, he hasn’t really said anything too far away from what we’re kind of expecting,” Sahota said. “This is a government … which needs to resolve itself on spending. So, we’re looking at government spending to come down. They really want to implement back in the tax cuts, we’ve seen that headline come through.”

Traders who have been growing more worried about inflation responded with relief to Wednesday’s U.S. data, buying stocks and sending benchmark 10-year Treasury yields down more than 13 basis points.

Treasury yields slipped on Thursday, after Federal Reserve Governor Christopher Waller said three or four interest cuts this year were still possible if U.S. economic data weakened further.

Sterling was down 0.13% at $1.2228 against the dollar, having also earlier dropped sharply against the yen on Thursday as investors focused on monetary policy divergence after last week’s selloff in gilts and the pound.

, seen on the front lines of tariff risk, was pinned near the weak end of its trading band at 7.3316. [CNY/]

Currency              

bid

prices at

16

January​

08:54

p.m. GMT

Descripti RIC Last U.S. Pct YTD Pct High Low

on Close Change Bid Bid

Previous

Session

Dollar 108.96 109.03 -0.05% 0.43% 109.4 108.

index 82

Euro/Doll 1.0299 1.029 0.1% -0.51% $1.0315 $1.0

ar 26

Dollar/Ye 155.19 156.505 -0.83% -1.36% 156.42 155.

n 135

Euro/Yen 159.84​ 160.97 -0.7% -2.07% 161.08 159.

77

Dollar/Sw 0.9111 0.9129 -0.18% 0.41% 0.9142 0.91

iss

Sterling/ 1.223 1.2245 -0.09% -2.19% $1.226 $1.2

Dollar 173​

Dollar/Ca 1.4393 1.4339 0.39% 0.1% 1.4403 1.43

nadian 24

Aussie/Do 0.621 0.6227 -0.24% 0.39% $0.6248 $0.6

llar 192

Euro/Swis 0.9382 0.9389 -0.07% -0.12% 0.9394 0.93

s 71

Euro/Ster 0.8418 0.8402 0.19% 1.75% 0.8438 0.84

ling 07

NZ 0.5606 0.5616 -0.11% 0.25% $0.5633 0.55

Dollar/Do 82

llar

Dollar/No 11.3595​ 11.3256 0.3% -0.05% 11.4002 11.3

rway 108

Euro/Norw 11.701 11.6542 0.4% -0.58% 11.714 11.6

ay 48

Dollar/Sw 11.1507 11.1536 -0.03% 1.21% 11.1937 11.1

eden 288

Euro/Swed 11.485 11.4806 0.04% 0.16% 11.499 11.4

en 75

THe USDCHF felll sharply after yesterday’s US CPI and in the process fell below its 200 hour moving average (green line on the chart below currently at 0.9119). However, the momentum could not be sustained, and a snapback rally ensued with the price moving back to and through the 200-hour moving average and up to the 100-hour moving average (blue line hourly chart below).

Sellers leaned against the 100-hour moving average and have kept a lid on the pair against that level. More recently in the US session a new break of the 200-hour moving average has led to new session lows for the day.

The sellers are making a play.

What is needed to keep the bias at least in the short term in favor of the sellers?

Staying below the 200-hour moving average of 0.9119 is the best case scenario. If that can happen, a retest of the low from yesterday and the rising 100 bar moving average on the 4-hour chart at 0.9077 will be the next major target. Break below that level and traders would start to look down toward the 38.2% retracement of the move up from the December low. That level comes in at 0.90209. I would expect there would be good support buyers against that level on a test

. If the 200 hour moving average is rebroken, that should disappoint the sellers and have traders looking toward another retest of the 100 hour moving average and 0.91429. Break above that and the high prices from earlier the week at 0.9200 would be a focused target.

The Australian dollar is showing little movement on Thursday, after a three-day rally in which the Aussie rose 1.3%. In the North American session, AUD/USD is trading at 0.6218, down 0.12% at the time of writing.

Australia adds 56.3 thousand jobs 

Australia’s labor market continues to hum and has been a bright light in an otherwise weak economy. In December, employment soared with a gain of 56.3 thousand, following a downwardly revised 28.2 thousand in November and crushing the market estimate of 15 thousand. The sharp gain, however, was comprised solely from part-time jobs (+80K) as full-time jobs declined (-23.7K). The unemployment rate ticked higher to 4.0% from 3.9%, in line with the market estimate.

The solid employment data means that the Reserve Bank of Australia need not be in a hurry to cut interest rates. The central bank has kept the cash rate at 4.35% for over a year and is keeping a close eye on the health of the labor market. The RBA meets next on Feb. 18 and the money markets have priced in quarter-point cut at around 75%. The RBA’s preferred measure for underlying inflation, the “trimmed mean”, fell from 3.5% to 3.2% in November, close to the upper band of the RBA’s 2-3% target. Australia releases fourth-quarter inflation data on Jan. 29, which could be a determining factor as to whether the RBA will finally cut rates or prolong the pause.

US retail sales ease in December

In the US, retail sales weakened in December. Annually, retail sales fell to 3.9% from an upwardly revised 4.1% and below the forecast of 4.0%. Monthly, retail sales fell to 0.4% from an upwardly revised 0.8% and below the market estimate of 0.6%. Despite the slowdown in December, consumer spending remains robust and the Federal Reserve won’t feel any pressure to change its rate paths due to today’s retail sales.

This week’s weaker-than-expected retail sales and inflation reports have significantly raised the expectations of a rate cut in March, from 19% two days ago to 31% currently, according to CME’s FedWatch tool. The Fed is virtually certain to hold rates at the Jan. 29 meeting.

AUD/USD Technical

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.

• TSMC’s strong Q4 2024 earnings and positive 2025 forecast boosted market sentiment and drove gains in chip stocks like Nvidia.
• Overall corporate profits remain strong, with a high percentage of S&P 500 companies exceeding earnings estimates.
• Technically, the S&P 500 is still in a bearish trend, but a close above the 5981 handle could signal a change in structure and potential further upside.

Most Read: Bitcoin (BTC/USD) vs. Nasdaq: Is the Correlation Affecting Crypto Outflows?

U.S. stocks saw a boost before the market opened, with Nasdaq 100 futures rising 0.5%, helped by positive news from TSMC, a major chipmaker for Apple and Nvidia. S&P 500 futures went up 0.3% after gaining 1.8% on Wednesday, its best day since the November election. 

TSMC Provides Hope for AI Spending

TSMC’s 2025 forecast beat market expectations across all important areas, easing worries about a drop in AI spending. 

TSMC’s fourth-quarter revenue grew 38.8% to NT$868.46 billion, beating the expected NT$850.08 billion. In U.S. dollars, revenue reached $26.4 billion, slightly above the company’s forecast of $26.1-26.9 billion. Net income rose 57% to a record NT$374.68 billion, with earnings per share at NT$14.45. Analysts had predicted NT$366.61 billion in net income. Overall, TSMC’s profit hit a record high, increasing 57% from last year, while revenue jumped nearly 39%.

Source: App Economy Insights (click to enlarge) 

More interestingly however, TSMC expects to spend up to 19% more than analysts thought which adds to the belief that a slowdown in AI spending may not materialize. Speaking on the results, Chief Financial Officer Wendell Huang. “Moving into first quarter 2025, we expect our business to be impacted by smartphone seasonality, partially offset by continued growth in AI-related demand.”

The news left TSMC trading 3.76% up on the day and helping drag other chipmakers along for the ride. Nvidia is one of the major beneficiaries, trading up around 3.3% at the time of writing. 

Earnings Season – Corporate Profits Remain Strong 

Earnings season got off to a bright start yesterday with three of the country’s biggest banks smashing their earnings estimates. Of the 28 companies in the S&P 500 that have reported fourth-quarter earnings as of Wednesday, 82.1% have surpassed estimates, according to data compiled by LSEG.

The good news continued today as both Bank of America and Morgan Stanley saw their earnings reports beat expectations as well. Morgan Stanley’s profit grew in the fourth quarter, driven by a surge in deals and stock sales, pushing its yearly revenue to a record high.

Bank of America reported higher-than-expected profits on Thursday as its traders took advantage of busy fourth-quarter activity, and the bank said it expects to earn more interest income in 2025. On an adjusted basis, BofA earned 82 cents per share in the fourth quarter, beating analysts’ expectation of 77 cents per share, according to estimates compiled by LSEG. 

Shares were up 2.7% in premarket trade. 

The Week Ahead

This week earnings are largely done for now with major earnings releases set to continue next week Tuesday January 21, 2025. Netflix will report after the market close on Tuesday which will come a day after the inauguration of Donald Trump as US President.

The next 10 days will be crucial for markets as incoming President Trump has promised major moves from day one, many of which may have an impact on US Equities and markets in general. 

For all market-moving economic releases and events, see the MarketPulse Economic Calendar. (click to enlarge)

Technical Analysis 

S&P 500

From a technical standpoint, the S&P 500 remains in a bearish trend on the daily timeframe.

The swing high of Monday January 6, continues to hold firm with a daily candle close above the 5981 handle needed for a change in structure. 

If this does not materialize the S&P 500 remains vulnerable to further downside. 

Immediate support rests at 5910 before the confluence level at 5828-5835 comes into focus. Here we have a key area of support as well as the 100-day MA. Lower down we have support at 5757 and 5668 respectively.

If the S&P is able to close above the 5981 handle then 6025 and the ATH print around 6094 come into focus.

S&P 500 Daily Chart, January 16, 2025

Source: TradingView (click to enlarge) 

Support

Resistance

Follow Zain on Twitter/X for Additional Market News and Insights @zvawda

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.

2025.01.16 2025.01.16
Top 10 Strongest Currencies in the World in 2025

Jana Kanehttps://www.litefinance.org/blog/authors/jana-kane/

In times of global instability, currency markets face numerous factors influencing the value of national currencies. Variables like inflation, interest rates, and trade balance play a crucial role in shaping the exchange rate. 

The highest currency serves not only as a sign of economic resilience but also as an attractive asset for international investors. Amid volatility, certain countries have maintained their positions, issuing some of the most valuable currencies in the world. In this article, we’ll reveal which one is the highest currency in the world and what makes it so sought after.

Major Takeaways

• The article provides an overview of the top 10 strongest currencies in 2025, highlighting the role of central bank policy and economic stability in maintaining currency strength.
• It underscores the Euro as a highly traded and stable currency, with its value determined by the political, social, and economic status of Eurozone member countries.
• The Swiss Franc is seen as a safe bet, particularly during crisis times, due to its stability.
• As the world’s most traded currency and a global reserve, the US Dollar maintains its value even in tumultuous times.
• The Canadian Dollar’s value is closely tied to the US dollar and the country’s natural resources, like oil and uranium.
• The article sums up that political stability, economic stability, low inflation, high-interest rates, and well-planned monetary policies can raise a currency’s value. It also lists the weakest currencies and points out that the Kuwaiti dinar is the most expensive currency, and the Swiss franc is the safest.

What defines the highest currencies in the world?

The value and currency exchange rate of the highest currencies in the world are influenced by a variety of economic and political factors that determine their standing on the global market. A high currency is an indicator of a country’s financial stability and attractiveness to investors. Below are the main factors that shape the exchange rate of the highest currencies:

• Economic Stability: Countries with stable economies tend to have stronger currencies. A reliable economic structure provides favorable conditions for a stronger currency.

• Interest Rates: Higher interest rates attract foreign investors, boosting demand for a currency and aiding its strength.

• Trade Balance: A positive trade balance (exports exceeding imports) helps support a high currency exchange rate, especially for exporting nations.

• Inflation Rates: Low inflation helps a currency maintain its value, an essential aspect for retaining the status of the highest currencies in the world.

• Political Stability: Countries with stable political systems attract more foreign investments, positively impacting the demand for their currency.

• Investment Attractiveness: Nations with well-developed financial infrastructure and favorable policies for foreign investors often have high currencies.

• Economic Confidence: A high level of confidence in a country’s economy supports stronger currencies in global competition.

Each of these factors contributes to forming the currency exchange rate, reinforcing its status as one of the strongest and highest currencies in the world.

Example 1:

Low Taxes and Tax-Free Systems: Countries offering tax benefits generally attract foreign investment, strengthening their currency.

Example 2:

Oil Exporting Nations: Countries with high oil production, like Saudi Arabia, often have stronger currencies since oil prices can bolster demand for their currency.

List of 10 Strongest Currencies in the World 2025

We have put together a list of the top 10 most valuable currencies in 2025. This comprehensive currency ranking in the world highlights the strongest and most stable currencies, including those that outperform the US dollar in value. 

There are 8 currencies in the world stronger than the USD.

Let’s take a closer look at each of them, as well as the remaining positions in our top 10 list of the world’s most valuable currencies.

1. Kuwaiti Dinar

Kuwaiti dinar (KWD) is considered the strongest currency in the world in 2025. KWD is freely convertible and has the highest monetary value. Kuwait is one of the richest countries in the Middle East, with access to the northwestern part of the Persian Gulf. The country has huge oil reserves, which also contributed significantly to the strength and stability of the value of Kuwait’s currency. Kuwait has built up a sizable sovereign wealth fund over the years. This fund is managed by the Kuwait Investment Authority (KIA) and contributes to Kuwait’s long-term high value.

Since the economy of Kuwait is based entirely on the country’s huge oil and gas reserves and oil exports, the slump in global crude oil prices causes a deficit in Kuwait’s economy. However, the KIA has drawn up a seven-year plan to counter this, ensuring the value of the Kuwaiti Dinar remains strong and stable. A rise in demand pushes prices up and supports the domestic official currency. Conversely, the decline in demand and increased supply pulls the oil prices down and negatively affects the Kuwaiti dinar. 

1 KWD = 3.24 USD

2. Bahraini Dinar

Bahrain is a small country that is one of the former British colonies. Bahraini dinar is the second most valuable currency. Upon being pegged to the United States dollar, the Bahraini dinar, with a currency code — BHD, had a somewhat better face value than the Omani rial. Despite the detrimental effects of low oil prices on Bahrain’s economy, the Bahraini dinar’s yearly average has been relatively stable since 2011. Bahrain’s inflation rate was also stable and low. The only way to qualify the inflation rate of Bahrain is through expressing its stability and low rate of growth — both factors that strengthen the economy. As a result, the Bahraini dinar has the second highest currency value in our rating.

1 BHD = 2.65 USD

3. Omani Rial

The third highest currency is Omani Rial. The fixed exchange rates have stayed at USD 2.6008 per RO since the last modification in parity in 1986. The Omani rial (OMR) has maintained its value against the dollar due to Oman’s traditionally rigorous monetary policy and financial restrictions. To protect the country from the unfortunate but frequent Middle Eastern wars and turbulence, Omani politicians have traditionally regulated the money supply. The country’s official currency rate has risen as a result, and Oman’s lending restrictions tend to favor offshore enterprises and Forex trading initiatives with a high risk appetite.

1 OMR = 2.60 USD

4. Jordanian Dinar

When compared to the US dollar, the Jordanian Dinar (currency code – JOD) has a higher value, despite being pegged since 1995. It is the forth highest currency in the world. This was done to keep Jordan’s legal tender steady in order to attract American investments. It’s important to remember that any country can peg its currency to the dollar at any time. To sustain the peg, the currency such as in the case of the Jordanian dinar must maintain its value in relation to the United States dollar. During the first two decades of the twenty-first century, Jordan was successful in doing so.

1 JOD = 1.41 USD

5. British Pound Sterling

British Pound sterling is the fifth highest currency worldwide and one of the most traded currencies as well. For decades, the Bank of England (BOE) has kept pace with global currency trends, keeping the pound more valuable than the US dollar. The British pound sterling (GBP), the official currency of the UK, was worth more than the US dollar for much of the twentieth century. In the 1980s, this pattern shifted, with the British pound restoring its previous advantage over the US dollar.

While the BOE is the most important factor in deciding the value of the British Pound (GBP), there are other things out there. Inflation and growth of the economy play their own part. Forex market sentiment is another feature you should consider. As the UK is one of the leading and stable economies, global political and economic events affect the value of the British pound.

6. Cayman Islands Dollar

The Cayman Islands dollar (KYD) was fixed at 1.20 US dollars in the 1970s. It takes the 6th position among the highest currencies worldwide. It may appear that producing a currency worth more than the United States dollar is a straightforward process, but it is more complicated than it appears. A currency peg like that in case of the Cayman Islands dollar can be difficult to maintain when local economic conditions are bad, and the US raises interest rates. The exchange rate value of the Cayman Islands dollar is bolstered by the country’s status as one of the tax havens for the wealthy.

1 KYD = 1.20 USD

7. Euro

European Euro is the second most traded currency in the world which is also considered to be among the most stable currencies. Because it is responsible for the entire continent’s monetary policy, the European Central Bank (ECB), which makes monetary policy for the European union eurozone, has more independence from national governments than most other central banks. This independence helps to keep the European euro strong, but it also contributed to the European sovereign debt crisis and rising unemployment rate by prohibiting some countries (such as Greece and Italy) from taking specific actions to help stimulate their economies (such as printing additional money). It is the most common pair for the US Dollar when it comes to trading in the global Forex market. EUR/USD is considered to be one of the most traded currency pairs.

Because the European euro is the de facto official currency of nineteen countries, its value is determined by the political, social, and economic status of all of these countries. This includes the status of the stock market, the chaos of projections and analyses, as well as the measures taken by the ECB.

8. Swiss Franc

The Swiss franc takes the 8th position among the highest currencies worldwide and it is Switzerland’s official currency. The franc rose in value against the euro and the US dollar as a result of the European debt crisis and US monetary policy. The Swiss National Bank said in 2015 that the franc’s peg to the European euro was no longer viable and would be lifted. Although the euro is often accepted as a means of payment in Switzerland, change is only offered in Swiss francs. Widely topping the ranking as the most secure source of foreign exchange market, the Swiss franc is always a safe bet for currency pairs.

Thanks to the European debt crisis of 2008, many investors turned to the franc as an alternative. Because the franc was a stable currency, this allowed it to be the safe haven that everyone needed — an investment that gives returns consistently even in a state of crisis.

9. US Dollar

The US Dollar (USD) is the official currency of the United States of America (United States dollar), it is the world’s most traded currency as well as one of the largest reserve currencies. The US dollar is the world’s most extensively used currency and is considered a benchmark in the international market when it comes to currency exchange rate and conversion rate. It is also used as a legal tender in a number of countries outside of the United States, and many others use it as an unofficial currency alongside their own.

The United States dollar has long been seen as a cornerstone of the global economy and a world reserve currency for international trade and finance, making it a safe investment no matter what is happening in the world. Market psychology and geopolitical risk, in addition to fundamentals and technical variables, influence the dollar’s value on the global market.

10. Canadian Dollar

The Canadian dollar, Canada’s official currency, is the world’s sixth most traded currency which is also included in the list of the highest currencies globally. Because of the country’s massive global oil reserves and second-largest uranium supply, both of which are located in Alberta, Canada’s natural resources are ranked third in the world. The Canadian dollar is particularly vulnerable to fluctuations in the value of the US dollar because it accounts for the great majority of Canada’s trade.

Top Currencies Ranked 11th to 20th

Сontinuing our exploration of the world currency ranking 2025, we now present the top currencies ranked 11th to 20th. While the top 10 dominate the market, these monetary units also play a significant role in shaping the global economy. Let’s take a closer look at them.

11. Singapore Dollar (SGD)

The Singapore dollar is the official currency of Singapore, one of the largest financial centers in the world.

12. Brunei Dollar (BND)

The Brunei dollar is used in Brunei and is at par with the Singapore dollar, enhancing its value on the international stage.

13. Australian Dollar (AUD)

The Australian dollar is one of the most popular currencies in the international market, largely because of the country’s commodity-based economy.

14. New Zealand Dollar (NZD)

The New Zealand dollar, referred to as the Kiwi, is popular in global markets due to the robust stability of the country’s economy.

15. Azerbaijani Manat (AZN)

Manat is the official currency of Azerbaijan, supported by oil and gas exports, which play a crucial role in the country’s economy.

16. Aruban Florin (AWG)

The Aruban florin serves as the island of Aruba’s currency, pegged to the US dollar and used primarily within the island.

17. Bulgarian Lev (BGN)

The Bulgarian lev, Bulgaria’s official currency, is pegged to the euro, which helps maintain its stability.

18. Convertible Mark (BAM)

This currency is used in Bosnia and Herzegovina and is pegged to the euro, making it stable in the international arena.

19. Fijian Dollar (FJD)

The Fiji dollar serves as the currency of the Fiji Islands and is bolstered by the tourism and sugar export economy.

20. Israeli Shekel (ILS)

The shekel is the official currency of Israel, whose economy is based on high-tech industries and innovation.

Summary

In closing, it is quite apparent from the list of the world’s strongest currencies — as well as what it takes for them to get there – that everything is in the hands of policymakers at the highest level. Whether a currency rises or falls is dependent on the central banks’ monetary policy and the quality of the management governing the systems in place. Strength and stability go hand in hand, and that is what raises the value of any currency for conversion, no matter what it is. 

To sum up, the factors that raise the monetary value of a currency are political stability, economic stability, low inflation, high interest rates, properly planned monetary policies, and low prices to attract countries with a larger purchasing power. A strong developed economy promotes low unemployment and secures a good place in the realm of currency trading in the banking and exchange market.

Many traders profit from changes in exchange rates in financial markets, and those who know nothing about trading can copy professional traders.