Tags » Capital Flows

Currency Volatility

Navigating  the macroeconomic currency risks going into the impending recession will be tough and I thought I would briefly comment on various currency regimes.  Currency risk is all-encompassing, and no asset class will escape. 440 more words

Geen Categorie

Are Capital Flows Expansionary or Contractionary? It Depends What Kind

By Olivier Blanchard, Jonathan D. Ostry, Atish R. Ghosh, and Marcos Chamon

(Version in Español)

With the expected move by the Federal Reserve to raise interest rates before the end of the year, many are asking about the effects on emerging market countries. 1,021 more words

International Monetary Fund

Openness and Inequality: Distributional Impacts of Capital Account Liberalization

By Davide Furceri and Prakash Loungani

(Version in Español)

It is well accepted that trade generates winners and losers. The past few decades have seen increases not just in trade in goods and services but trade in assets, as countries relax restrictions on the ability of capital to flow across national boundaries. 655 more words

International Monetary Fund

The Market Narrative - Week Ending October 30, 2015

Food for Thought

Curve Ball – Is the Yield Curve Still a Dependable Signal?
720 Global
This piece poses a valid question: will inverted yield be present prior to the next recession, given the Fed’s ZIRP? 611 more words

Food For Thought

Will a Fed rate hike affect house prices in emerging markets?

Ambrogio Cesa-Bianchi and Alessandro Rebucci

In some parts of the emerging world, housing markets have grown well ahead of income in recent years.  Will a US monetary policy normalisation bring about a correction in house prices as the search for yield unwinds and capital flows back to the US?  989 more words

Macroeconomics

US-Asia trade imbalance

Westpac produce a very detailed chart pack on the US economy called Northern Exposure. One item that stands out like a sore thumb is the trade imbalance between the US and Asia: 194 more words

US & Canada

Help Me Emerging Markets; You’re My Only Hope

The weakness in retail sales from December through February didn’t jibe with the strength in employment and consumer confidence.   547 more words