Foreign Exchange
SNB’s Jordan describes task of maintaining franc exchange limit
Thomas Jordan sets out how the Swiss National Bank has been fighting to keep the franc-to-euro exchange limit in place; explains slight slip-up last week allowing some trades to happen at lower rate
BOJ discusses dollar funding costs through forex swaps
Bank of Japan examines US-implied swap rates amid growing concern over European banks' funding
Asia to develop emergency financial stability safety net
Charles Adams and Lei Lei Song chart the development of the Chiang Mai Initiative Multilateralization and explain three ways to develop Asia’s liquidity support mechanism
Could the Swiss start a trend?
Robert Pringle discusses the Swiss National Bank's action to limit the exchange rate between the franc and the euro, and asks if others should, and will, follow
Taiwan denies controlling exchange rates
Central bank issues “clarification” of the “managed floating exchange rate regime” in place in Taiwan
Philly Fed paper investigates relationship between oil prices and exchange rates
Working paper shows little systematic relation between oil prices and the Canadian-US dollar exchange rate
Questions raised over UK’s FX volume surge
Market participants attribute a range of factors to the 23% rise in FX turnover in the UK reported by the Bank of England's FX Joint Standing Committee on July 25
The folly of foreign exchange intervention
The G-7’s bid to stem the yen’s appreciation threatens to damage Japan’s economy, Geoffrey Wood believes
G-7 pledges intervention to stem yen appreciation
Finance ministers and central bank governors say they will cooperate to counter volatility of Japanese currency in aftermath of Tohoku earthquake
CLS welcomes new Basel working group on FX settlement risk
Work between central banks and supervisors that was halted at the onset of the financial crisis is now set to continue
FX market going global: BIS
Bank for International Settlements’ triennial survey of foreign exchange markets shows decline in prevalence of local transactions, dollar and sterling
IMF explains peso appreciation in the 90’s
IMF paper shows that gains in total factor productivity and more competitive pricing for tradable goods explains the historical appreciation of the peso
IMF highlights risks of FX swaps
IMF paper finds that the use of foreign exchange (FX) swaps for funding and hedging purposes is not as infallible as previously thought, especially in periods of market stress
China to keep policy “moderately loose”; hint at yuan appreciation
People’s Bank of China to maintain accommodative policy stance, suggests renminbi appreciation could be possible
Rand strength undesirable: SA finance minister
Pravin Gordhan, South Africa’s Minister of Finance says the government will aid the central bank building reserves
Strong Canadian dollar “threat to growth”
Mark Carney, governor of the Bank of Canada, says currency intervention is ineffective without supporting policies
Trichet sees “pressing need” for fiscal responsibility
Announcing that interest rates would be kept unchanged, ECB president calls for governments to formulate realistic exit strategies
IMF’s new exchange-rate terms explained
International Monetary Fund explains revisions to its system for the classification of exchange rate arrangements
Flexible exchange rate better for welfare
Bundesbank investigates the welfare ranking of exchange rate regimes
Thailand relaxes overseas investment rules
Bank of Thailand relaxes rules for investing overseas in an effort to halt baht’s rise
No need for further euroisation in Cape Verde
International Monetary Fund finds that Cape Verde’s peg to the euro suits its economy just fine
Japan appoints new currency policy, regulatory chiefs
Japan’s ministry of finance makes new appointments in its July reshuffle
High oil prices lift output of exporting economies
Bank of Finland research finds that for Iran, Kazakhstan, Venezuela, and Russia oil price positively affects output growth