The Forex market started in 1971. Prior to that, there was an agreement between most economic powers of the time that prevented speculation in the currency market. The agreement was created in 1945 with the intent of stabilizing international currencies. Most currency was set against the US Dollar, which was set at thirty-five dollars per ounce of gold. Prior to that, the Gold Standard was used, which kept kings and dictators from arbitrarily lowering or raising the price of gold in order to trigger inflation. It was considered a good way to keep economies stable and it worked for a while.