The role of asymmetric information among investors in the foreign exchange market

2008 ◽  
Vol 13 (4) ◽  
pp. 368-385 ◽  
Author(s):  
Esen Onur
Keyword(s):  
Asymmetric Information ◽  
Foreign Exchange ◽  
Foreign Exchange Market ◽  
Exchange Market

scholarly journals The Role of the International Monetary Fund After the 2008 Crisis

2019 ◽  
Vol 10 (1) ◽  
pp. 60
Author(s):  
Marco Mele ◽  
Floriana Nicolai
Keyword(s):  
Foreign Exchange ◽  
United Arab Emirates ◽  
International Monetary Fund ◽  
Foreign Exchange Market ◽  
Exchange Market ◽  
Governance Reform ◽  
Extensive Introduction ◽  
The 2008 Financial Crisis ◽  
The International Monetary Fund

The purpose of this paper is to analyze the changes in the functions of the International Monetary Fund after the 2008 financial crisis. Following an extensive introduction concerning the subject of the study and which covers part of the economic literature, the focus was on governance reform and surveillance in the foreign exchange market. Finally, the empirical analysis was carried out concerning the manipulation of exchange rates in a period ranging from 2008-2016 and 15 countries (Taiwan, South Korea, Israel, China, Thailand, Macao, Switzerland, Hong Kong, Singapore, Norway, Qatar, United Arab Emirates, Kuwait, Trinidad and Tobago and Saudi Arabia) that in the period considered massively intervened in the foreign exchange market, keeping their respective currencies undervalued and acquiring an unfair competitive advantage to the detriment of partner economies. The results would tend to confirm that the manipulation of the exchange rate is a persistent and lasting element of the currency policies of the new millennium, highlighting an active insufficiency of the IMF’s action in the exercise of the oversight function on the currency policies of the Members.

scholarly journals Role of Oil Prices in Exchange Rate Devaluation: Risks of the Russian Ruble and Other Currencies

2019 ◽  
Vol 16 (4) ◽  
pp. 76-81
Author(s):  
V. Yu. Didenko ◽  
N. I. Morozko ◽  
N. I. Morozko
Keyword(s):  
Monetary Policy ◽  
Exchange Rate ◽  
Foreign Exchange ◽  
Current Account ◽  
Foreign Exchange Market ◽  
Oil Prices ◽  
Balance Of Payments ◽  
Exchange Market ◽  
The Exchange Rate

Subject and topic. Currently, the decrease in payments on foreign debts and a decrease in imports have an impact on the demand in the foreign exchange market. As a result, a situation has arisen due to the actions of the Bank of Russia, caused by threats of sanctions that provoked the absence of excessive demand and adequate supply in the foreign exchange market and led to a decrease in ruble exchange rate fl uctuations due to oil price movements.The subject of research is to determine the role of oil prices in the formation of monetary policy, which can be a key driver of economic growth.Objective. Identifi cation of exchange rate management practices with the search for the relationship between the current account of the balance of payments and the volatility of the national currency exchange rate.Research methods, the main provisions. Methods used grouping, comparing and summarizing economic indicators to study the characteristics and trends of the monetary policy of China, South Korea and Latin American countries.A critical analysis of the various points of view of leading scientists on the negative or positive impact of the exchange rate on the development of the economy was carried out. At the same time, it is interesting to analyze the views of individual economists that the dependence of the ruble exchange rate on oil prices has recently largely decreased.The main results of the study. Determination of the theoretical relationship between the price of oil and the exchange rate, based on the shock component, either in oil prices or in the exchange rate, with testing the response of the economic variable to this shock.Main conclusions. It was concluded that in the conditions of the economic situation of the last decade, the main problem of export-oriented and import-oriented countries is the imbalance of the current account of the balance of payments, as well as its relationship, primarily with the prices of export goods.

Traders’ Engagement with Markets

2002 ◽  
Vol 19 (5-6) ◽  
pp. 161-185 ◽  
Author(s):  
Karin Knorr Cetina ◽  
Urs Bruegger
Keyword(s):  
Foreign Exchange ◽  
Social Relations ◽  
Foreign Exchange Market ◽  
The Self ◽  
Exchange Market ◽  
Computer Screen ◽  
Daily Work ◽  
Work Routines ◽  
Real Objects

This article focuses upon the construction of wants and the embodying of the market in the work routines of workers on the Swiss foreign exchange market. The authors are particularly concerned with the role of the computer screen within the establishment of postsocial relations around a sense of embodied lack. The screen does not provide access to the market but is the market as an exteriorized assemblage of practices brought together in one place. The screen is the (ontologically liquid) market rather than its representation into which traders immerse themselves. Traders engage with this market in their daily work practices through a constructed sense of lack that requires them to act passionately within the market in order to satisfy the self understood as a structure of wanting. While Knorr Cetina and Bruegger draw on a Lacanian understanding of the self as lack, rather than focus on the formation of direct human social relations around this issue, they look instead at the materiality of lack and its position within the postsocial relations constituted through trading online in the foreign exchange market. Desire is constituted and realized here through the object of the computer screen rather than with other people directly. In this way relations between persons are mediated by real objects that constitute persons virtually.

scholarly journals Pakistan’s Parallel Foreign Exchange Market

2014 ◽  
Vol 19 (Special Edition) ◽  
pp. 1-16 ◽  
Author(s):  
Asma Khalid
Keyword(s):  
Foreign Exchange ◽  
Historical Perspective ◽  
Foreign Exchange Market ◽  
Interbank Market ◽  
Exchange Market ◽  
Comprehensive Picture ◽  
Fx Market

This paper seeks to describe and analyze the parallel foreign exchange (FX) market in Pakistan. The very nature of this market implies that there is little formal documentation or data to describe it, and so any assessment will be, by definition, subjective. However, parties that transact in the parallel market are familiar with parts of it, on which basis this paper aims to give a comprehensive picture of the structure and evolution of this market in Pakistan. We start with a brief historical perspective, which flags the importance of workers’ remittances to the country and explains how the bulk of this inflow is transacted through the hundi/hawala network (informal moneychangers). We then place this network within the context of the larger FX market and show how it interfaces with the interbank market. We also discuss how many hundi/hawala agents have evolved into formal exchange companies and list the various sources and uses of FX transacted in the kerb market. The conclusion spells out the importance and resilience of the parallel FX market, the need to push toward full amalgamation with the formal FX market, and the key role of workers’ remittances in Pakistan’s macro-economy.

scholarly journals Efficiency of Foreign Exchange and Its Related Derivatives Market: Evidence From Korea

2019 ◽  
Vol 10 (2) ◽  
pp. 92
Author(s):  
Min-woo Kang
Keyword(s):  
Foreign Exchange ◽  
Foreign Exchange Market ◽  
Forward Rate ◽  
Exchange Market ◽  
Central Bank Intervention ◽  
Interest Rate Parity ◽  
Long Time ◽  
Derivatives Markets ◽  
Forward Rate Unbiasedness Hypothesis

This study aims to test the efficiency of the Korean foreign exchange market and examine its determinants by employing several well-established methodologies based on current theoretical arguments on the forward rate unbiasedness hypothesis and covered interest rate parity. The empirical findings indicate that the foreign exchange market and its related derivatives markets were inefficient during the period 2006-2016, but have improved considerably after the 2008-2009 financial crisis. As the inefficiency prevailed for a long time, emphasis is on the presence of risk premia in the international financial market and the role of central bank intervention.

Sign in / Sign up

Export Citation Format

Share Document