We study settlement fails for trades in the Government of Canada bond market. We find that settlement fails do not occur independently. Using a novel and comprehensive dataset, we examine three drivers of fails. First, we find that fails are more likely following the release of surprise...

This paper reviews and appraises the body of empirical research on the association between .nancial markets and economic growth that has accumulated over the past quarter-century. The bulk of the historical evidence suggests that financial development a¤ects economic growth in a positive,...

This paper examines volatility spillovers from changes in the size of the balance sheets of the Federal Reserve (FED) and European Central Bank (ECB) to emerging market economies (EMEs) from 2003 to 2014. We find that EME bond markets are most susceptible to positive volatility spillovers from...

Constrained efficient allocation (CE) is characterized in a model of adverse selection and directed search (Guerrieri, Shimer, and Wright (2010)). CE is defined to be the allocation that maximizes welfare, the ex-ante utility of all agents, subject to the frictions of the environment. When...

During and after the Great Recession of 2008-09, conventional monetary policy in the United States and many other advanced economies was constrained by the effective lower bound (ELB) on nominal interest rates. Several central banks implemented large-scale asset purchase (LSAP) programs, more...

On 5-6 September 2012 SUERF held its 30th Colloquium "States, Banks, and the Financing of the Economy" at the University of Zürich, Switzerland. The papers included in this SUERF Study are based on contributions to the Colloquium. All the chapters in this publication discuss from different...

In September 2014, the MICEX Index saw an uptrend starting at 1392 and reaching a month high of 1477 by September 16 but then went down to 1430 and stood still until the end of the month. The MICEX capitalization was Rb 22,8trillion (35.2% of GDP) by September 25. At the same time, the share of...

The MICEX Index, after having risen by 2% to 1,513 points over the fi rst ten days of July, then dropped by 10% towards the month’s end. By 28 July, MICEX Index stood at 1,361.9 points. The MICEX’s capitalizati on by 28 July had amounted to Rb 21.8 trillion (or 32.0% of GDP). Russia’s...

In August 2014, the MICEX Index, after having risen to 1,460 points as of 21 August, over the next few days dropped by 4.1%, standing as of 29 August at 1,400.7 points. The MICEX’s capitalization as of 29 August amounted to Rb 22.4 trillion (or 34.6% of GDP). In August, the main negative...

Over the course of February 2015, the MICEX Index continued to grow and hit its four-year record high of 1,809.6 points. The stock market’s capitalization index as of 25 February amounted to Rb 27.4 trillion (or 38.6% of GDP). As before, the situation in Russia’s domestic corporate bond...