Live currency exchange rates

The interbank rate is the rate of exchange between two foreign currencies when banks trade them with each other. This rate is not usually accessible to the general public but is used by large institutions, corporations, and banks for significant transactions. It’s determined by supply and demand in the FX market. Factors influencing it include economic indicators, interest rates, political stability, and market speculation.

Currency specialists typically offer better currency exchange rates than banks. These legacy institutions aren’t focused on providing FX services, so often add a larger margin to exchange rates as part of their profit strategy. Meanwhile, currency specialists typically handle a high volume of transactions. This allows them to achieve better wholesale rates from interbank markets, which they can pass on to their customers.

The best time to exchange currency can depend on several unpredictable factors, including market conditions and economic announcements, which are beyond your control. What you can control is when you exchange currency. Markets are less active during weekends, which can lead to wider spreads and less favourable rates. Therefore, you’ll get the best currency exchange rates during the week, particularly during bank hours.

The interbank rate is the midpoint between the buy rate (the rate the banks are ready to purchase a foreign currency at) and the sell rate (the rate they are selling it at). The resulting rate represents the fairest value of a currency at that moment and is typically considered the most accurate exchange rate.

You can find out the interbank rate on the Lumon website. Our live exchange rates page displays the interbank rate for all major currency pairs.

Companies often add a markup or spread to the mid-market rate (the rate at which they buy and sell currency among themselves). This spread varies between companies based on their business model, overhead costs, and profit margins.