International Capital Flows at the Zero Lower Bound Catherine L. Mann
Rosenberg Professor of Global Finance, Interna:onal Business School, Brandeis University Visi:ng Scholar Federal Reserve Bank of Boston Global Interdependence Center, Milan May 2013
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Bid-Cover at ZLB Lots of bids… But wanted higher interest rate than outcome… except LT !"#$%&'()*+,-&*./*0123)45(136*./*/(,)* )"!!# 7889* 788=* 78@@*
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Foreign Gross Flows at ZLB UST dominate in ZLB regime … no increase in risky assets #!$!!!$!!!"
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Foreign Gross Flows at the ZLB private through financial centers drive trends
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Foreign Net Flows at ZLB UST Official dominate post crisis; some return to risk? Bank flows reflect rolling geography of crisis and risk attitude &#$$$$$%
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Foreign Official Portfolio at ZLB increasing share, lengthening 3-6yr duration
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Official Portfolio at ZLB Official had wanted higher yield… will they again? &##$
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