Cross Currency (redirected from currency-cross)

Cross Currency

A pair of currencies traded in forex that does not include the United States dollar.

Notes:

Historically, an individual who wished to exchange a sum of money into a different currency would be required to first convert that money into U.S dollars, and then convert it into the desired currency. But cross currencies help individuals and traders bypass this step of converting into U.S dollars. The GBP/JPY cross, for example was invented to aid individuals in England and Japan who wanted to convert their money into the other currency without having to first convert into U.S dollars.

See also: Exchange Rate, Foreign Currency Effects, Forex