Showing 1 - 10 of 2,141
I analyze the interaction between buyers' information acquisition and market liquidity in over-the-counter markets with … information trap with low liquidity: information acquisition worsens the composition of assets remaining on the market, and the …-agency residential mortgage-backed securities experienced a sudden drop in liquidity—as potential buyers realized the need for greater …
Persistent link: https://www.econbiz.de/10012895073
We develop and apply a procedure to test the welfare implications of a beauty and non-beauty contest based on survey forecasts of interest rates and yields in a large country sample over an extended period of time. In most countries, interest rate forecasts are unbiased and consistent with both...
Persistent link: https://www.econbiz.de/10011790681
I construct a model of money and credit where financial intermediaries write deposit contracts with economic agents to intermediate credit transactions. A preference shock is private information to a depositor, which is costly for intermediaries to observe. Financial intermediaries create...
Persistent link: https://www.econbiz.de/10013217429
Regional and bilateral liquidity arrangements have gained increasing prominence over the past decades, not least during … contributions in this publication address a wide range of topics dealing with regional and global liquidity arrangements, including …
Persistent link: https://www.econbiz.de/10013101487
aggressive use of both traditional monetary policy instruments and innovative tools in an effort to provide liquidity. In this …
Persistent link: https://www.econbiz.de/10013156383
This paper provides an overview of supply and demand factors influencing the availability of euro-denominated debt instruments that qualify as high-quality liquid assets (HQLA) in the euro area. The paper estimates the supply of HQLA issued by the public and private sectors as well as the...
Persistent link: https://www.econbiz.de/10012893572
Crude oil futures play an important role in the global financial and energy markets, yet the dynamics of liquidity in … this crucial market have largely been ignored. Understanding how macroeconomic events shape liquidity in this market is … crucial for both hedgers and speculators, particularly those demanding large amounts of liquidity. In addition, policy makers …
Persistent link: https://www.econbiz.de/10012855026
We study the impact of different central bank communication practices on the trading behavior and profitability of fast and slow traders in the foreign exchange market. We focus, in particular, on how the Bank of Japan's practice of introducing some randomness to the time at which it releases...
Persistent link: https://www.econbiz.de/10013247078
This paper provides an overview of supply and demand factors influencing the availability of euro-denominated debt instruments that qualify as high-quality liquid assets (HQLA) in the euro area. The paper estimates the supply of HQLA issued by the public and private sectors as well as the...
Persistent link: https://www.econbiz.de/10011976095
find significant changes in the composition of liquidity providers: hedge funds buy a large share of the issue outside pre …-MPC windows, but they shy away from liquidity provision in pre-MPC windows, being replaced by less speculative investors such as … liquidity providers before high-informational events, which can also explain the price drift observed in the data …
Persistent link: https://www.econbiz.de/10014258216