Which market is described as the global marketplace for buying and selling currencies?

The correct choice is indeed the foreign exchange (forex) market, which serves as the global marketplace for buying and selling currencies. This market operates on a decentralized network, facilitating currency transactions across the world. Participants in this market include banks, financial institutions, corporations, governments, and individual traders, who engage in currency exchanges to fulfill needs for international trade, investment, and speculation.

The foreign exchange market is characterized by its immense volume, operating 24 hours a day to accommodate various time zones, which makes it one of the largest and most liquid financial markets globally.

In contrast, the capital market focuses on the buying and selling of financial securities such as stocks and bonds, while the stock market specifically deals with the trading of company stocks. The commodity market is primarily concerned with the trading of physical goods like oil, gold, or agricultural products. Each of these markets has a different purpose and structure, emphasizing why the foreign exchange market is uniquely defined as the venue for currency transactions.