Currency Converter

What Are Exchange Rates?

An exchange rate is the price of one currency expressed in terms of another. For example, if the USD/EUR rate is 0.92, it means 1 US dollar can be exchanged for 0.92 euros. Exchange rates are determined by the foreign exchange market (forex), the largest financial market in the world with over $7.5 trillion in daily trading volume.

There are two types of rates: floating rates, which are set by market forces of supply and demand, and fixed (pegged) rates, where a country's central bank ties the currency to another currency or a basket of currencies. Most major currencies like the USD, EUR, GBP, and JPY use floating rates.

How Currency Conversion Works

To convert an amount from one currency to another, you multiply the amount by the exchange rate. For example, to convert 100 USD to EUR at a rate of 0.92, the result is 100 × 0.92 = 92 EUR. This tool performs that calculation automatically using live rates sourced from the European Central Bank (ECB) via the Frankfurter API.

Note that the rates shown here are mid-market rates (also called interbank rates). Banks and money transfer services typically add a markup or spread, so the rate you receive for an actual currency exchange may differ slightly.

Why Do Exchange Rates Change Daily?

Exchange rates fluctuate constantly due to a complex mix of factors: interest rate decisions by central banks, inflation data, trade balances, political events, and overall market sentiment. For example, if the US Federal Reserve raises interest rates, the dollar tends to strengthen because higher rates attract foreign investment.

Rates also respond to economic reports (GDP, employment data), geopolitical events (elections, trade agreements, conflicts), and market speculation. The rates on this tool are updated every business day from the European Central Bank's reference rates.

Major World Currencies

US Dollar (USD) — The world's primary reserve currency, used in the majority of international trade and held by central banks globally.
Euro (EUR) — The official currency of 20 European Union countries (the eurozone), and the second most traded currency worldwide.
British Pound (GBP) — One of the oldest currencies still in use, and the fourth most traded in the forex market.
Japanese Yen (JPY) — The third most traded currency, often used as a safe-haven asset during market uncertainty.
Swiss Franc (CHF) — Known for stability, backed by Switzerland's political neutrality and strong financial sector.

Frequently Asked Questions

How do I convert currency online?

Select your source currency (From), target currency (To), and enter the amount above. The converter uses live exchange rates from the European Central Bank to calculate the result instantly. No login required.

What is the exchange rate today?

Exchange rates change daily. Use this converter to see today's live rate between any two supported currencies. Rates are sourced from the ECB and updated every business day.

How many euros is a dollar?

The USD to EUR rate fluctuates daily, typically ranging between 0.85 and 0.95 EUR per 1 USD in recent years. Use the converter above to see the exact rate right now.

What is the strongest currency in the world?

By exchange rate value, the Kuwaiti Dinar (KWD) is the strongest, worth approximately 3.25 USD. By global influence and reserve status, the US Dollar, Euro, and Swiss Franc are considered the most powerful.

How often do exchange rates change?

In the forex market, rates change every second during trading hours. This converter updates rates once per business day using European Central Bank reference rates. Weekends and holidays use the most recent available rate.