What is the differences between the retal or client market and the wholesale or interbank market for foreign exchange?

The retail or client market for foreign exchange involves individual consumers and businesses exchanging currencies through brokers or banks, typically for smaller amounts and at less favorable rates due to added spreads. In contrast, the wholesale or interbank market involves large financial institutions trading significant volumes of currency directly with each other, often at more competitive rates due to lower spreads and higher liquidity. The interbank market operates 24/5 and is characterized by high transaction sizes, while the retail market is more accessible but offers less favorable pricing for end-users.