cover image: Policy Brief - Quantitative Tightening and Capital Flows to Emerging Markets

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Policy Brief - Quantitative Tightening and Capital Flows to Emerging Markets

24 Jun 2022

They experienced a sudden and unexpected spike in interest rates, and the Fed moved in to avoid contamination of the rest of the financial system. [...] However (…) the translation of dollar amounts of balance sheet reductions into equivalent policy rate hikes depends on the evolution of the size and maturity composition of the balance sheet. [...] In turn, between the beginning and the end of the first QT – light and brief – in 2017, the premiums on 10- year Treasury bonds fell. [...] Doubts concern the pace and extent of the tightening, both about base rates and the size of the Fed's balance sheet at the end of QT. [...] About the Policy Center for the New South The Policy Center for the New South (PCNS) is a Moroccan think tank aiming to contribute to the improvement of economic and social public policies that challenge Morocco and the rest of Africa as integral parts of the global South.
Pages
11
Published in
Morocco