International Capital Flow Pressures and Global Factors

Linda Goldberg and Signe Krogstrup

No 30887, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: The risk sensitivity of international capital flow pressures is explored using a new Exchange Market Pressure index that combines pressures observed in exchange rate adjustments with model-based estimates of incipient pressures that are masked by foreign exchange interventions and policy rate adjustments. The sensitivity of capital flow pressures to risk sentiment including for so-called safe haven currencies, evolves over time, varies significantly across countries, and differs between normal time and extreme stress events. Across countries, risk sensitivities and safe haven status are associated with self-fulfilling exchange rate expectations and carry trade funding currencies. In contrast, association with more traditional macroeconomic country characteristics is weak.

JEL-codes: F32 G11 G20 (search for similar items in EconPapers)
Date: 2023-01
New Economics Papers: this item is included in nep-mon and nep-opm
Note: IFM ITI
References: Add references at CitEc
Citations: View citations in EconPapers (7)

Published as Linda Goldberg & Signe Krogstrup, 2023. "International capital flow pressures and global factors," Journal of International Economics, .
Published as International Capital Flow Pressures and Global Factors , Linda S. Goldberg, Signe Krogstrup. in NBER International Seminar on Macroeconomics 2022 , Forbes, Gourinchas, and Reis. 2023

Downloads: (external link)
http://www.nber.org/papers/w30887.pdf (application/pdf)

Related works:
Journal Article: International capital flow pressures and global factors (2023)
Working Paper: International Capital Flow Pressures and Global Factors (2023)
Working Paper: International Capital Flow Pressures and Global Factors (2023)
Chapter: International Capital Flow Pressures and Global Factors (2022)
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:nbr:nberwo:30887

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w30887

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Bibliographic data for series maintained by ().