Currency swaps are used by central banks to provide short-term liquidity to help enhance financial stability for both counterparts. We apply the newsboy inventory optimization to interpret the factors related to the optimal size of a currency swap, and we find that the mean value of foreign...

Using a new uncertainty index from Baker <italic>et al</italic>. (2013), we evaluate the time-varying correlation between macroeconomic uncertainty and commodity prices. Estimation results from a multivariate DCC-GARCH model reveal that increased volatility in uncertainty leads to increased price and volatility...

Using the forecast error variance decomposition from a vector auto-regression, this article examines both average and time-varying spillovers of macroeconomic uncertainty across major economies since 1997 and compares the ongoing crisis with earlier episodes. We show that spillover effects of...