A cross rate is the exchange rate between two currencies where neither is the US dollar, such as EUR/GBP. Historically these were calculated by combining each currency’s rate against the dollar; today they are quoted directly. Crosses let traders trade one economy against another.
Forex Term
Cross Rate
An exchange rate between two currencies, neither being the US dollar.
Example
EUR/JPY is a cross rate derived from the euro and the yen without using the dollar.
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Risk
Forex and CFD trading involves significant risk of loss and is not suitable for all investors. Leverage can work against you. This content is educational and not financial advice — always do your own research.