Central Bank Interest Rates: Tracker + Differentials

This page tracks central bank interest rates for the eight major currencies in one place. The first table shows each bank's current policy rate and its most recent move. The second table turns those rates into interest-rate differentials for the seven USD major pairs. Below the tables you will find a plain-English guide to why rates move currencies, how differentials feed your swap, and how to handle decision days. Rates shown as of July 2026, reviewed after each central bank meeting.

Current central bank interest rates

Each row is one central bank. The rate column shows the headline policy rate traders quote. For the Federal Reserve that is a target range, so differential math below uses its 3.625% midpoint. For the European Central Bank we quote the deposit facility rate, not the main refinancing rate. The FAQ explains why.

The spread of policy runs wide right now. Australia pays 4.35% at the top. Switzerland pays nothing at the bottom. Four banks have hiked in 2026, while the other four sit on hold after the 2025 cutting wave. Each bank publishes its meeting schedule for the year, so every date in the last column can be checked at the source.

Interest rate differentials for the USD majors

A differential is simple subtraction: base-currency rate minus quote-currency rate. One worked example: for EURUSD, take the EUR rate of 2.25% and subtract the USD rate of 3.625%. The result is −1.375%. A positive number means the base currency pays more. A negative number means the quote currency pays more. You can compute any cross the same way from the table above. Watch how these gaps show up in live pricing on the live forex rates board.

USD uses 3.625%, the midpoint of the Fed's 3.50%–3.75% target range. All figures are annual rates. Your broker applies its own markup on top, so treat these as the raw ceiling, not your swap quote.

Why central bank interest rates move currencies

Money chases yield. When one country pays more interest than another, capital flows toward the higher rate. Funds buy the currency to buy the bonds. That flow lifts the currency, all else equal. This is why central bank interest rates sit behind almost every long-lasting forex trend. The 2026 picture makes the point: the RBA hiked three times and AUD yields now top the majors, while the SNB still pays zero.

But price moves before the decision, not after it. Markets trade on expectations. If futures pricing says a hike is certain, the hike itself changes nothing on the day. Only the surprise moves price: a hike nobody expected, a hold when a hike was priced, or a shift in the statement's tone. That is why rate decisions belong on your economic calendar as red-folder events, and why the press conference often moves price more than the number.

Rate differentials, carry and swap

The differential is what your overnight swap approximates. Hold a position past your broker's rollover time and you pay or receive the rate gap between the two currencies, minus the broker's markup. Worked example from the table: long USDJPY carries a raw differential of 3.625 − 1.00 = +2.625% per year. On a one-lot position of 100,000 USD, that is roughly 2,625 USD annualized, or about 7 USD per night before markup. In practice the credited amount is smaller, because brokers take a cut on both sides.

Negative carry works the same way in reverse. Long EURUSD sits on the wrong side of a −1.375% gap, so holding it costs money every night. Swing traders should know their side of the gap before entry. A trade held for weeks can see swap eat a meaningful slice of the result.

One honest caution. High-yield currencies often carry higher volatility, and the yield is not free. AUD pays the most right now precisely because the RBA is fighting inflation. A single bad session can erase months of collected carry. Carry works best as a tailwind on a trade you already want, not as the whole reason for the trade. Check how tightly your pairs move together on the correlation matrix before stacking several positive-carry positions that are really one bet.

How to trade around rate decisions

Decision days are red-folder events. Spreads widen in the minutes around the release, sometimes tenfold. Liquidity thins, so stops can slip and fill far from their level. Pending orders can trigger on the spike and close in loss before the real move starts. None of that is a broker trick. It is what fast markets do.

The practical playbook is simple. Know the schedule, then decide in advance. Either stand aside through the release or cut size so the whipsaw cannot hurt you. Eight banks means a decision lands most weeks, so check which session it falls in on the forex market hours clock. If you do hold through a decision, size the position for the wider stop the event demands. The position size calculator does that math in seconds.

Waiting also pays. The first spike after a decision is often wrong, and the settled move after the press conference costs less to trade. Let spreads normalize first.

Reading the trend in rates, not just the level

The level tells you the carry. The direction tells you the story. A bank early in a hiking cycle has historically mattered more for trends than a bank sitting still at a higher level. Markets trade the path ahead, not the number on this page.

The current map splits into three camps. Four banks sit on hold after cutting through 2025: the Fed, BoE, SNB and BoC. The ECB, BoJ, RBA and RBNZ have all hiked in 2026 as inflation pressure returned. Diverging paths like these are what historically produced the strongest currency trends: one bank tightening while its counterpart holds gives a pair a persistent reason to move. USDJPY through 2022 to 2024 was the textbook case of a wide, widening gap driving a multi-year trend.

None of this predicts the next move. It tells you where the pressure sits. Pair the rate map with what price is actually doing across the majors on the currency strength heatmap, and take signals from your chart, not from the table alone.

What this table cannot tell you

This page is a snapshot, not a live feed. Rates change on meeting days, and eight banks means the table can go stale within a week. Always check the date line at the top before acting on a number. The page is reviewed after each central bank meeting, and every figure is cross-checked against the bank's own announcement plus at least one independent source, per the Editorial and Testing Policy.

Second, your broker's swap is not the raw differential. Markup, tom-next pricing and triple-swap Wednesdays all shift the number you actually pay or receive. Check the exact swap in your MT4 or MT5 contract specification before planning any carry position. And remember the ECB nuance: this table quotes the deposit facility rate at 2.25%, while headlines sometimes quote the main refinancing rate at 2.40%. Both are correct; they are different instruments.

Want the full toolkit? Get the complete database.

FAQ

Which rate does the ECB row show, and why?

The deposit facility rate, 2.25% since 17 June 2026. It is the rate the ECB steers money markets with, so overnight euro rates and swap pricing track it. The main refinancing rate sits higher at 2.40%.

Why did a currency fall after its central bank hiked?

The hike was already priced in. Markets move on expectations, so a fully expected hike adds nothing new. If traders wanted a bigger hike, or the statement hinted the cycle is ending, the currency can sell off on the news. The surprise moves price, not the decision itself.

Is the differential the same as my swap?

No. The differential is the raw gap between two policy rates. Your broker converts it to a daily swap and subtracts a markup on both sides. Some pairs end up negative in both directions.

How often does this page update?

After each of the eight banks' scheduled meetings, so figures refresh several times per quarter. If a bank has met since the date line above, verify the number at the source first.

Does a higher rate always mean a stronger currency?

No. Capital flows favor yield, but inflation, growth and risk sentiment pull on price at the same time. A currency can fall through an entire hiking cycle if markets doubt the bank or fear its economy. Treat rates as one input among several. Results are not guaranteed; past performance is not indicative of future results.

Related tools: trading journal, bank holidays 2026 and atr position size calculator, plus the full free forex tools directory.