Frontaler Blick auf das D4 Gebäude.

Brown Bag Seminar - Christian Kubitza

05. August 2024

Wir freuen uns, für 19.August 2024, ein Brown Bag Seminar ankündigen zu können.

Als Vortragenden dürfen wir Christian Kubitza (ECB) begrüßen.

Er wird sein Paper "The Implications of CIP Deviations for International Capital Flows" (joint with Jean-David Sigaux and Quentin Vandeweyer) vorstellen.

Abstract: We study the implications of deviations from covered interest rate parity (CIP) for international capital flows using a novel dataset covering the universe of derivatives and securities holdings in the euro area. We document that euro-area investors’ holdings of USD bonds decrease following a widening in USD-EUR CIP deviation. Consistent with a simple dynamic model of currency risk hedging, we find that investors are significantly more responsive to CIP deviations when they need to roll over existing currency derivatives. CIP-driven shifts in bond demand significantly affect government bond prices. Our findings have important implications for understanding international capital flows and financial stability.


Das Brown Bag Seminar findet am 19.August 2024 von 12:00-13:00 Uhr im Raum D3.0.222 statt.

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