Final answer:
The largest financial market in the world is the foreign exchange market, with around $5.3 trillion traded daily, surpassing the trading volumes of all other financial markets such as the New York Stock Exchange and the NASDAQ. So the correct answer is option C.
Step-by-step explanation:
The largest financial market in the world is not the New York Stock Exchange (NYSE), nor is it the NASDAQ market, the London Gold Exchange, or any regional stock markets. The correct answer is c. the foreign exchange market. This market is extraordinary in terms of the size of its trading volumes.
According to a survey conducted by the Bank of International Settlements in 2013, about $5.3 trillion was traded each day in the foreign exchange markets, which indeed makes it the largest market in the world economy. This dwarfs the trading volumes of other markets and makes the foreign exchange market a pivotal arena for global financial transactions.
Additionally, this market is essential as it represents the direct exchange of different world currencies, influenced by factors such as supply and demand for currencies, domestic interest rates, and global economic events.