EUR/USD is the world's most traded currency pair, representing the exchange rate between the two largest economic blocs and the deepest, most liquid market in finance. It prices the US dollar against the euro. Its moves are driven above all by the policy gap between the Federal Reserve and the European Central Bank, as well as by relative growth and risk sentiment. Because much global trade and reserves are held in these two currencies, EUR/USD serves as the market's default barometer of dollar strength.