Are crashes catching: exchange-rate crises, once started, tend to spread. For good reasons

Article Abstract:

Investors often believe that when one country experiences an exchange-rate crisis, it is likely to affect neighboring countries, and a study of industrialized nations by Barry Eichengreen, Andrew Rose and Charles Wyplosz bears out the theory. Trade was identified as a key factor for the spread.

Foreign Currency Management, Column, Industrialized countries, Foreign exchange, Industrial nations, Currency devaluation, Devaluation (Currency)

---

Weighing up the anchor

Article Abstract:

The Deutsch mark remains the anchor currency for Europe's exchange rate mechanism (ERM), despite the Bank of France's effort to replace it with the franc by undercutting the Bundesbank's discount rate. ERM-member nations still believe that inflation is best controlled with the mark as anchor.

Prices and rates, Interest rates, Franc (France), Mark (Germany)

---

The last of the good times?

Article Abstract:

Large banks have traditionally earned millions of dollars annually trading international currency, but several factors indicate that the foreign exchange market may no longer be as profitable a venture for such banks as Citicorp.

Similar abstracts:

• Abstracts: Credit card holders: characteristics of users and non-users. A comparison of a credit scoring model with a credit performance model
• Abstracts: A high-rise bust. Onwards and upwards. Heading upwards: Hong Kong property
• Abstracts: All God's children; the British government should bow to demands that it pay for Muslim schools. Just testing
• Abstracts: The method in their madness. The naked and the dead
• Abstracts: Cambodia's road to purgatory. Vote for Cambodia

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.