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2098 Results

Creations and Redemptions in Fixed-Income Exchange-Traded Funds: A Shift from Bonds to Cash

The creation and redemption activity of fixed-income exchange-traded funds listed in the United States has shifted. Funds of established issuers have traditionally exchanged their shares for baskets of bonds. In contrast, young funds managed by new issuers tend to create and redeem their shares almost exclusively in cash. Cash transactions imply that new funds are taking on exposure to liquidity risk. This has implications for financial stability.

Predictive Ability of Commodity Prices for the Canadian Dollar

Staff analytical note 2016-2 Kimberly Berg, Pierre Guérin, Yuko Imura
Recent sharp declines in commodity prices and the simultaneous depreciation of the Canadian dollar (CAD) relative to the U.S. dollar (USD) have rekindled an interest in the relationship between commodity prices and the CAD-USD exchange rate.

Quantifying the Economic Benefits of Payments Modernization: the Case of the Large-Value Payment System

Staff working paper 2021-64 Neville Arjani, Fuchun Li, Zhentong Lu
Canada is undertaking a major initiative to modernize its payments ecosystem. The modernized ecosystem is expected to bring significant benefits to Canadian financial markets and the overall economy. We develop an empirical framework to quantify the economic benefits of modernizing the payment system in Canada.
June 21, 2009

Financial System Review - June 2009

Financial System Review - June 2009

Policy-makers around the world met the intensification of the global financial crisis at the end of 2008 with a forceful response aimed at restoring confidence in the global financial system, promoting the flow of credit, and supporting economic activity.

FSR Highlights - June 2009

Erratum: Legends for Chart 13 on page 15 of the June 2009 issue should read: Argentina (right scale), Mexico (left scale). See revised chart.

2018 Merchant Acceptance Survey

Staff analytical note 2019-31 Kim Huynh, Gradon Nicholls, Mitchell Nicholson
In 2015, the Bank of Canada surveyed merchants and found that cash was nearly universally accepted (Fung, Huynh and Kosse 2017). Since 2015, retail payments in Canada have become increasingly digitalized, as many Canadians have adopted digital payment innovations like contactless cards and Interac e-Transfer.
Content Type(s): Staff research, Staff analytical notes JEL Code(s): C, C8, D, D2, D22, E, E4, L, L2 Research Theme(s): Money and payments, Cash and bank notes, Retail payments
August 15, 2013

CSI: A Model for Tracking Short-Term Growth in Canadian Real GDP

Canada’s Short-Term Indicator (CSI) is a new model that exploits the information content of 32 indicators to produce daily updates to forecasts of quarterly real GDP growth. The model is a data-intensive, judgment-free approach to short-term forecasting. While CSI’s forecasts at the start of the quarter are not very accurate, the model’s accuracy increases appreciably as more information becomes available. CSI is the latest addition to a wide range of models and information sources that the Bank of Canada uses, combined with expert judgment, to produce its short-term forecasts.
Content Type(s): Publications, Bank of Canada Review articles JEL Code(s): C, C5, C53, E, E1, E17, E3, E37

Understanding Trend Inflation Through the Lens of the Goods and Services Sectors

Staff working paper 2020-45 Yunjong Eo, Luis Uzeda, Benjamin Wong
The goods and services sectors have experienced considerably different dynamics over the past three decades. Our goal in this paper is to understand how such contrasting behaviors at the sectoral level affect the aggregate level of trend inflation dynamics.
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