Liquidity during Flash Events
“Flash events,” extremely large price moves and reversals over just a few minutes, have occurred in some of the world’s most liquid markets in recent years.
Do Asset Purchase Programs Push Capital Abroad?
Thomas Klitgaard and David O. Lucca Euro area sovereign bond yields fell to record lows and the euro weakened after the European Central Bank (ECB) dramatically expanded its asset purchase program in early 2015. Some analysts predicted massive financial outflows spilling out of the euro area and affecting global markets as investors sought higher yields […]
The Effect of the Strong Dollar on U.S. Growth
The recent strengthening of the U.S. dollar has raised concerns about its impact on U.S. GDP growth.
The Eurodollar Market in the United States
In February, the Federal Reserve Bank of New York’s trading desk announced it will publish a new overnight bank funding rate early next year.
Highlights from the Global Research Forum on International Macroeconomics and Finance
International financial flows are a key feature of the global landscape and are relevant in many ways for central banks.
FRN Follow‑Up: Who Are the Market Participants?
Ezechiel Copic, Luis Gonzalez, Caitlin Gorback, Blake Gwinn, and Ernst Schaumburg On January 29, 2014, the U.S. Treasury held its first auction of a two-year floating-rate note (FRN), which pays a fixed spread over the floating thirteen-week bill rate rather than a fixed coupon. In this post, we investigate the aftermath of the January auction […]
Global Asset Prices and the Taper Tantrum Revisited
Global asset market developments during the summer of 2013 have been attributed to changes in the outlook for U.S. monetary policy, starting with former Chairman Bernanke’s May 22 comments concerning future curtailing of the Federal Reserve’s asset purchase programs.
Bitcoin: How Likely Is a 51 Percent Attack?
Rod Garratt and Rosa Hayes In June 2014, the mining pool Ghash.IO briefly controlled more than half of all mining power in the Bitcoin network, awakening fears that it might attempt to manipulate the blockchain, the public record of all Bitcoin transactions. Alarming headlines splattered the blogosphere. But should members of the Bitcoin community be […]
Crisis Chronicles: The British Export Bubble of 1810 and Pegged versus Floating Exchange Rates
In the early 1800s, Napoleon’s plan to defeat Britain was to destroy its ability to trade.