ECB Foreign Exchange Intervention and the Euro: Institutional Framework, News and Intervention

Using a unique intervention news data set, this paper investigates the impact of ECB intervention and intervention-related news (newswire reports) on the euro exchange rate. A time-series study of news generated by ECB officials and market participants regarding intervention and the value of the euro as well as an event study of firm reports of ECB intervention is conducted. Both studies find significant short-run effects on the euro value, while only negative statements (official statements denying past intervention or ruling out future intervention) appear to have persistent effects.

MoreLess

Year of publication:	2002
Authors:	Fatum, Rasmus ; Hutchison, Michael M.
Publisher:	Copenhagen : University of Copenhagen, Economic Policy Research Unit (EPRU)
Subject:	Wechselkurspolitik \| Euro \| Zentralbank \| Signalling \| Ankündigungseffekt \| EU-Staaten

More details

Series:	EPRU Working Paper Series ; 2002-10
Type of publication:	Book / Working Paper
Type of publication (narrower categories):	Working Paper
Language:	English
Other identifiers:	352588489 [GVK] hdl:10419/82021 [Handle] RePEc:kud:epruwp:02-10 [RePEc]
Source:	EconStor

Persistent link: https://www.econbiz.de/10010320892