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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Trends in the Funding and Lending Behaviour of Australian Banks
2 Feb 2015
RDP
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1090KB
2 Banks hedge foreign currency-denominated funding to protect themselves from the risk that a. ... For a broader discussion of foreign currency hedging by Australian entities see Rush, Sadeghian and Wright (2013).
https://www.rba.gov.au/publications/rdp/2013/pdf/rdp2013-15.pdf
Promoting Liquidity: Why and How?
2 Dec 2009
RDP
PDF
484KB
In contrast, in foreign exchange markets a change in the economic environment and a sharp increase in uncertainty can result in very large movements in prices, but liquidity is not normally ... Indeed, it is notable that liquidity in foreign exchange
https://www.rba.gov.au/publications/rdp/2008/pdf/rdp2008-06.pdf
Australian Money Market Divergence: Arbitrage Opportunity or Illusion?
12 Sep 2019
RDP
PDF
1464KB
of Australian dollars (AUD) into the foreign currency. Specifically, it is the return earned from. ... lending AUD against the foreign currency in the spot market, investing the foreign currency in.
https://www.rba.gov.au/publications/rdp/2019/pdf/rdp2019-09.pdf
Identifying Repo Market Microstructure from Securities Transactions Data
13 Aug 2018
RDP
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2622KB
transacted through foreign (i.e. non-Austraclear) infrastructure, the two datasets have a robust. ... day liquidity needs that arise from their business-related cash flows. Moreover, the interest rates.
https://www.rba.gov.au/publications/rdp/2018/pdf/rdp2018-09.pdf
A History of Australian Corporate Bonds
29 Jan 2015
RDP
PDF
606KB
13 For more information on foreign currency hedging see D’Arcy, Shah Idil and Davis (2009). ... Around half of non-financial corporations’ foreign currency debt is hedged using derivatives (D’Arcy et al 2009).
https://www.rba.gov.au/publications/rdp/2012/pdf/rdp2012-09.pdf
Changes in the Behaviour of Banks and Their Implications for Financial Aggregates
19 Nov 2012
RDP
PDF
932KB
foreign currency deposits, bank bills, and capital). 1 8. The major factor behind these developments was the attempt by banks to avoid the cost of SRDs. ... Deregulation and development of financial markets made these processes easier. For example,
https://www.rba.gov.au/publications/rdp/1989/pdf/rdp8904.pdf
The Origin of the Asian Financial Turmoil
1 Dec 2009
RDP
PDF
451KB
4 Changes in exchange rates are calculated in terms of units of foreign currency (e.g. ... This resultsin smaller changes than using units of national currency per unit of foreign currency.
https://www.rba.gov.au/publications/rdp/1998/pdf/rdp9805.pdf
Monetary Transmission in a Deregulated Financial System
19 Nov 2012
RDP
PDF
825KB
reflects the overall liquidity of the private sector or its ability to undertake. ... The. exchange rate (e) is measured as the domestic price of foreign currency (i.e.
https://www.rba.gov.au/publications/rdp/1988/pdf/rdp8811.pdf
Financial Reform in Australia and China
4 Feb 2015
RDP
PDF
1153KB
2006). 15 For more information on foreign currency hedging in Australia, see Becker and Fabbro (2006) and Rush, Sadeghian and Wright (2013). ... the authorities suspended banks’ foreign currency trading to allow time to decide on a course of action.
https://www.rba.gov.au/publications/rdp/2014/pdf/rdp2014-10.pdf
Fear of Sudden Stops: Lessons from Australia and Chile
10 May 2004
RDP
PDF
193KB
In addition, if foreign debt is denominated ina foreign currency, then a real devaluation will increase the local-currency valueof required factor payments, aggravating any existing liquidity shocks. ... DUS$–A–R (net foreign debtin foreign currency
https://www.rba.gov.au/publications/rdp/2004/pdf/rdp2004-03.pdf