Loss of confidence can intensify financial stress Corporate credit defaults could rise
Financial volatility has increased
Corporate bond issuance in EMEs, 2018 USD billion
$800 Bn.
China
Implied oil price volatility
VIX
MOVE
120
Other emerging
100
600
80 400
60 40
200
Note: VIX refers to the Chicago Board Options Exchange Market Volatility Index. MOVE refers to the Merrill Lynch Option Volatility Estimate index. Source: OECD (2019), Corporate Bond Markets in a Time of Unconventional Monetary Policy; Balestra (2018); Thompson Reuters; and OECD calculations.
2019
2018
2017
0
2016
'19
2015
'15
2014
'10
2013
'05
2012
2000
2011
0
2010
20
14