Search: foreign-currency liquidity
RBA Glossary definition for foreign-currency liquidity
foreign-currency liquidity – The capacity to exchange foreign currency for domestic currency without significantly moving the exchange rate. The extent to which a foreign currency may be traded readily without causing a significant movement in price.
RBA Glossary definition for liquidity
liquidity – The capacity to sell an asset quickly without significantly affecting the price of that asset. Liquidity is also sometimes used to refer to assets that are highly liquid.
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International and Foreign Exchange Markets
10 Nov 2013
SMP
– November 2013
The bilateral swap network allows foreign currency liquidity to be provided to each jurisdiction (in any of the five currencies foreign to that jurisdiction) provided that both parties to a particular ... See ‘Box A: Foreign Currency Exposure and
https://www.rba.gov.au/publications/smp/2013/nov/intl-fx-mkts.html
The Global Financial Environment
10 Mar 2015
FSR
– March 2015
debts. While firms in some sectors could have limited natural hedging opportunities in the form of foreign currency revenues, financial hedging markets are relatively well developed in Turkey. ... In many Asian jurisdictions, this borrowing appears
https://www.rba.gov.au/publications/fsr/2015/mar/global-fin-env.html
The Australian Financial System
12 Apr 2019
FSR
– April 2019
Australian banks fully hedge the foreign currency (and interest rate) risk arising from their use of foreign-currency debt. ... In addition, Australian banks use most of their offshore funding to finance Australian assets, rather than foreign
https://www.rba.gov.au/publications/fsr/2019/apr/australian-financial-system.html
The Global Financial Environment
20 Apr 2016
FSR
– April 2016
firms in non-tradeable sectors (which typically do not earn significant foreign currency revenue) have increased foreign currency borrowings. ... Nonetheless, the BoJ has continued to highlight the foreign currency and liquidity risks associated with
https://www.rba.gov.au/publications/fsr/2016/apr/global-fin-env.html
Domestic Financial Markets
10 Feb 2011
SMP
– February 2011
Increasing the share of funding from longer-term debt can reduce the size of the liquidity portfolio that needs to be held under that scenario. ... funding. Cross-currency basis swap spreads – which represent the hedging cost of Australian issuers
https://www.rba.gov.au/publications/smp/2011/feb/dom-fin-mkts.html
The Global Financial Environment
21 Apr 2017
FSR
– April 2017
These foreign currency assets have been partly funded or hedged using short-term wholesale markets, raising banks' liquidity risks. ... To date, the authorities have restrained capital outflows and downward pressure on the renminbi by tightening existing
https://www.rba.gov.au/publications/fsr/2017/apr/global-fin-env.html
International and Foreign Exchange Markets
10 May 2006
SMP
– May 2006
Regulatory changes saw China's foreign-currency-denominated B shares, which are available to both foreign and domestic investors, rise strongly. ... This so-called ‘carry trade’ sought to benefit from the interest rate differential between the two
https://www.rba.gov.au/publications/smp/2006/may/intl-fx-mkts.html
International and Foreign Exchange Markets
10 May 2015
SMP
– May 2015
Foreign currency-denominated corporate bond issuance has been broadly stable in recent months, but the currency composition of issuance has shifted somewhat from US dollars to euros. ... In addition to lowering the policy rate, the Danish central bank
https://www.rba.gov.au/publications/smp/2015/may/intl-fx-mkts.html
Domestic Financial Markets
10 Feb 2015
SMP
– February 2015
Once the cost of hedging foreign currency issuance back into Australian dollars is taken into account, the pricing of recent issuance across major currencies is broadly consistent with the cost of ... In recent months, growth in foreign-currency
https://www.rba.gov.au/publications/smp/2015/feb/dom-fin-mkts.html
International and Foreign Exchange Markets
10 Feb 2014
SMP
– February 2014
The stock of Chinese foreign currency reserves increased by US$157 billion (around 4 per cent) over the December quarter, to be US$508 billion (15 per cent) higher over the year. ... While most other Asian and emerging market countries' foreign currency
https://www.rba.gov.au/publications/smp/2014/feb/intl-fx-mkts.html