Do Exchange Rates Fully Reflect Currency Pressures?

Linda Goldberg and Stone Kalisa

No 20221110a, Liberty Street Economics from Federal Reserve Bank of New York

Abstract: Currency values are important both for the real economy and the financial sector. When faced with currency market pressures, some central banks and finance ministries turn to foreign exchange intervention (FXI) in an effort to reduce realized currency depreciation, thus diminishing its economic and financial consequences. This post provides insights into how effective these interventions might be in limiting currency depreciation.

Keywords: exchange rates; foreign exchange interventions; exchange market pressure; balance of payments; currency (search for similar items in EconPapers)
JEL-codes: F00 (search for similar items in EconPapers)
Date: 2022-11-10
New Economics Papers: this item is included in nep-ban, nep-mon and nep-opm
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://libertystreeteconomics.newyorkfed.org/2022 ... -currency-pressures/ Full text (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:fip:fednls:95026

Ordering information: This working paper can be ordered from

Access Statistics for this paper

More papers in Liberty Street Economics from Federal Reserve Bank of New York Contact information at EDIRC.
Bibliographic data for series maintained by Gabriella Bucciarelli ().