A survey of market practitioners' views on exchange rate dynamics

• 成果类型: Article
• 署名作者: Cheung, YW; Wong, CYP
• 署名单位: University of California System; University of California Santa Cruz; City University of Hong Kong
• 刊物名称: JOURNAL OF INTERNATIONAL ECONOMICS
• ISSN/ISSBN: 0022-1996
• DOI: 10.1016/S0022-1996(99)00009-4
• 发表日期: 2000
• 页码: 401-419
• 关键词: Exchange rate dynamics; foreign exchange traders; microstructure; survey study

摘要

We report some findings from a survey of practitioners in the interbank foreign exchange markets in Hong Kong, Tokyo, and Singapore. The respondents contend that liquidity and market uncertainty are two important reasons for deviating from the conventional interbank bid-ask spread. A strong customer base is perceived as a source of competitive advantage for large participants. Most respondents agree that non-fundamental factors have pervasive impacts on short-run exchange rates. Speculation is believed to increase volatility but also improve market liquidity and efficiency. Despite their claim that intervention exacerbates volatility, more than one-half of the respondents suggest official intervention helps restore equilibrium. (C) 2000 Elsevier Science B.V. All rights reserved.