We use panel quantile regressions to study extreme (rather than average) movements in the distribution of the real effective exchange rate (REER) of small open economies. We document that global ...

Spikes in exchange rate volatility and interest rate spreads tend to show up before major stresses in currency markets.

This paper estimates, for the first time, the exchange rate elasticity of bilateral trade in services, providing indirect evidence of both producer currency pricing and dominant currency pricing in ...

Understanding the drivers behind this strengthening of the cedi and its broader macroeconomic implications is essential for ...

The improvement is accounted for by valuation adjustments, and the bulk of it by exchange rate movements. Conclusions. The increase in the degree of financial integration of the U.S. with the rest of ...

Changes in supply and demand for currencies prompted by the opportunity to exploit interest rate differentials can, therefore, result in sizeable and persistent exchange rate movements. Specifically, ...