Author: Hoe Ee Khor
Publisher: International Monetary Fund
ISBN: 1451925387
Category : Business & Economics
Languages : en
Pages : 38
Book Description
This paper explores how interest rates on domestic financial assets in Mexico are linked to expectations of exchange rate changes and to perceptions about the default risks contained in Mexico’s external debt. It is shown that the interest rate differentials between peso- and U.S. dollar-denominated domestic assets reflected some concerns about the exchange rate policy during the period under study. In addition, the evidence suggests that the interest rate on a U.S. dollar-denominated Mexican domestic asset is linked (i.e., cointegrated) to the yield implicit in the secondary market price for external debt issued by Mexico.
Interest Rates in Mexico
Interest Rates in Mexico
Author: Ee Khor Hoe
Publisher:
ISBN:
Category : Mexico
Languages : en
Pages : 25
Book Description
Publisher:
ISBN:
Category : Mexico
Languages : en
Pages : 25
Book Description
Interest Rates in Mexico
Author: Hoe Khor
Publisher:
ISBN:
Category :
Languages : en
Pages : 38
Book Description
This paper explores how interest rates on domestic financial assets in Mexico are linked to expectations of exchange rate changes and to perceptions about the default risks contained in Mexico`s external debt.It is shown that the interest rate differentials between peso- and U.S. dollar-denominated domestic assets reflected some concerns about the exchange rate policy during the period under study. In addition, the evidence suggests that the interest rate on a U.S. dollar-denominated Mexican domestic asset is linked (i.e., cointegrated) to the yield implicit in the secondary market price for external debt issued by Mexico.
Publisher:
ISBN:
Category :
Languages : en
Pages : 38
Book Description
This paper explores how interest rates on domestic financial assets in Mexico are linked to expectations of exchange rate changes and to perceptions about the default risks contained in Mexico`s external debt.It is shown that the interest rate differentials between peso- and U.S. dollar-denominated domestic assets reflected some concerns about the exchange rate policy during the period under study. In addition, the evidence suggests that the interest rate on a U.S. dollar-denominated Mexican domestic asset is linked (i.e., cointegrated) to the yield implicit in the secondary market price for external debt issued by Mexico.
Interest Rates, Growth and External Debt
Author: Stijn Claessens
Publisher: World Bank Publications
ISBN:
Category : Debt relief
Languages : en
Pages : 34
Book Description
Publisher: World Bank Publications
ISBN:
Category : Debt relief
Languages : en
Pages : 34
Book Description
Mexico
Author: International Monetary Fund. Western Hemisphere Dept.
Publisher: International Monetary Fund
ISBN: 1475556055
Category : Business & Economics
Languages : en
Pages : 37
Book Description
This Selected Issues paper analyzes transmission of monetary policy rates to lending and deposit rates in Mexico. The results show that transmission of the policy rate to market rates is statistically significant in all cases, except for mortgage rates. For sight deposits, pass-through is low, with a 1 percentage point increase in the policy rate leading to a 0.2 percentage point rise in the deposit rate. For term deposits the pass-through is stronger, but remains below unity at 0.7. The pass-through to both lending and deposit rates is very rapid. The dynamic specifications show that pass-through is significant in either the current or the following month, and the long-term impact is achieved during the second month.
Publisher: International Monetary Fund
ISBN: 1475556055
Category : Business & Economics
Languages : en
Pages : 37
Book Description
This Selected Issues paper analyzes transmission of monetary policy rates to lending and deposit rates in Mexico. The results show that transmission of the policy rate to market rates is statistically significant in all cases, except for mortgage rates. For sight deposits, pass-through is low, with a 1 percentage point increase in the policy rate leading to a 0.2 percentage point rise in the deposit rate. For term deposits the pass-through is stronger, but remains below unity at 0.7. The pass-through to both lending and deposit rates is very rapid. The dynamic specifications show that pass-through is significant in either the current or the following month, and the long-term impact is achieved during the second month.
Interest Rates in Mexico: the Role of Exchange Rate, Expectations and International Creditworthines
Author: Hoe E. Khor
Publisher:
ISBN:
Category :
Languages : en
Pages : 25
Book Description
Publisher:
ISBN:
Category :
Languages : en
Pages : 25
Book Description
The Mexican Peso Crisis
Author: Mr.Paul R. Masson
Publisher: International Monetary Fund
ISBN: 1451929099
Category : Business & Economics
Languages : en
Pages : 36
Book Description
This paper examines credibility and reputational factors in explaining the December 1994 crisis of the Mexican peso. After reviewing events leading to the crisis, a model emphasizing the inflation-competitiveness trade-off is presented to explain the formation of devaluation expectations. Estimation results indicate that investors appear to have seriously underestimated the risk of devaluation, despite early warning signals. The collapse of confidence that followed the December 20 devaluation may have been the result of a shift in the perceived commitment of the authorities to exchange rate stability.
Publisher: International Monetary Fund
ISBN: 1451929099
Category : Business & Economics
Languages : en
Pages : 36
Book Description
This paper examines credibility and reputational factors in explaining the December 1994 crisis of the Mexican peso. After reviewing events leading to the crisis, a model emphasizing the inflation-competitiveness trade-off is presented to explain the formation of devaluation expectations. Estimation results indicate that investors appear to have seriously underestimated the risk of devaluation, despite early warning signals. The collapse of confidence that followed the December 20 devaluation may have been the result of a shift in the perceived commitment of the authorities to exchange rate stability.
The Demand for Money, Interest Rates and the Exchange Rate in Mexico
Author: Luis Miguel Alejandra Galindo-Paliza
Publisher:
ISBN:
Category :
Languages : en
Pages : 400
Book Description
Publisher:
ISBN:
Category :
Languages : en
Pages : 400
Book Description
The Exchange Rate and the Term Structure of Interest Rates in Mexico
Author: Masao Ogaki
Publisher:
ISBN:
Category : Foreign exchange
Languages : en
Pages : 24
Book Description
Publisher:
ISBN:
Category : Foreign exchange
Languages : en
Pages : 24
Book Description
Mexican Policies for Budgets and Interest Rates
Author: Juan Ricardo Perez-Escamilla-Costas
Publisher:
ISBN:
Category : Budget
Languages : en
Pages : 170
Book Description
Publisher:
ISBN:
Category : Budget
Languages : en
Pages : 170
Book Description