History of the Foreign Exchange Market

At the end of World War 2 all major currencies where pegged to gold, this was an international pact adopted at a conference held at Brenton Woods.

At the end of World War 2 all major currencies where pegged to gold, this was an international pact adopted at a conference held at Brenton Woods. This would later become the informal name of the system. Initially this stabilized exchange rates, but as world economies developed in the post war era and gold prices became increasingly expansive the system became untenable. In 1971 the system was effectively eliminated allowing exchange rates to float freely. 

The 1990’s heralded the arrival of the internet as its use became main stream banks and companies created online networks to produce automated quotes. Advancing technology and regulation allowed a new category of brokers to emerge. These brokers enabled individuals to trade Forex for the first time. Forex brokers can now be found in every corner of the world and account for a meaningful segment of daily foreign exchange volumes.

Share

HEAD OFFICE

Level 6, 360 Collins Street
Melbourne, VIC
3000 Australia

Risk Warning: Margin trading involves a high level of risk, and may not be suitable for all investors. You should carefully consider your objectives, financial situation, needs and level of experience before entering into any margined transactions with EightCap, and seek independent advice if necessary. Forex and CFDs are highly leveraged products which mean both gains and losses are magnified. You should only trade in these products if you fully understand the risks involved and can afford losses without adversely affecting your lifestyle (including the risk of losing substantially more than your initial investment). A Product Disclosure Statement (PDS) and a Financial Services Guide (FSG) for our products are available to download from our Legal Documentation page. You must assess and consider them carefully before making any decision about using our products or services.

EightCap is a registered business name of EightCap Pty Ltd (ABN 73 139 495 944). We are regulated by the Australian Securities & Investments Commission (ASIC) - our AFSL number is 391441. This licence authorises us to provide financial services to people in Australia.

The information on this website is of a general nature only and is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation. EightCap is not a financial adviser, and does not issue advice, recommendations, or opinion in relation to acquiring, holding or disposing of a margined transaction. We provide general advice only and accordingly you should consider how appropriate the advice (if any) is to your objectives, financial situation and needs before acting on the advice.