Dependent and independent variables

Central bank asset purchases and auction cycles revisited: new evidence from the euro area

Retrieved on:

Friday, April 19, 2024

EADB, Eurozone, Central bank, Exercise, Finance, Selection, Zero lower bound, History, Sale, Empirical evidence, Research Papers in Economics, SDW, Flight-to-liquidity, Money, EONIA, APP, Fleming, Born, AAA, Fiscal, PEPP, Pyrrhic victory, Policy, Research, Breitung, MOSFET, Autocorrelation, Euro, PDF, Classification, ECB, Blog, Dependent and independent variables, Eser, DMO, Impact, PSPP, SMP, Efficacy, AC, QE, Sovereign, Confidentiality, Section 4, MOC, Convention (norm), Data warehouse, Social science, LHS, Control, JEL, Chart, Section 3, Importance, Journal, Bank of France, Role, G14, Government, Capital, The Journal of Finance, Credit, E58, Contagion, Literature, Public sector, DeSantis, Paper, Section 2, European Central Bank, Health, Arnone, Attention, Pressure, NCBS, G12, Journal of Financial Economics, Reproduction, Website, Table, Movement, IMF, RHS, Working paper, Ehrmann, Treasury, Market, Symmetry, Heart, Data, Beck, VIX, Natural experiment, Interval (mathematics), Confidence interval, Medical classification, Security (finance)

Working Paper Series

Key Points:

Working Paper Series
Federico Maria Ferrara
Central bank asset purchases
and auction cycles revisited:
new evidence from the euro area

No 2927

Disclaimer: This paper should not be reported as representing the views of the European Central Bank
(ECB).
Abstract
This study provides new evidence on the relationship between unconventional monetary
policy and auction cycles in the euro area.
The findings indicate that Eurosystem?s asset purchase flows mitigate
yield cycles during auction periods and counteract the amplification impact of market volatility.
The dampening effect of central bank asset purchases on auction cycles is more sizeable and
precisely estimated for purchases of securities with medium-term maturities and in jurisdictions
with relatively lower credit ratings.
On the other hand, central banks may influence price dynamics in these markets, most notably
through their asset purchase programmes.
If so, do central bank asset purchases
affect bond yield movements around auction dates?
Auction cycles are present when secondary market yields rise in
anticipation of a debt auction and fall thereafter, generating an inverted V-shaped pattern around auction
dates.
ECB Working Paper Series No 2927
3

1

Introduction

The impact of central bank asset purchases on government bond markets is a focal point of economic and
financial research.
If so,
do central bank asset purchases shape yield sensitivity around auction dates?
The paper provides new evidence on the effects of Eurosystem?s asset purchases on secondary market
yields around public debt auction dates.
The analysis builds on previous research based on aggregate data
on central bank asset purchases and a shorter analysis period (van Spronsen and Beetsma 2022).
Using
granular data on Eurosystem?s asset purchases offers an opportunity to shed light on the mechanisms linking
unconventional monetary policy and auction cycles.
Given this legal constraint, the study
hypothesises that the effect of asset purchases on 10-year auction cycles is mostly indirect, and goes via price
spillovers generated by purchases of securities outside the 10-year maturity space.
Taken together, these results provide new evidence about auction cycles in Europe and contribute to a
larger literature on the flow effects of central bank asset purchases on bond markets.
Section 4 offers descriptive evidence about auction cycles in the euro area.
Auction cycles are defined by the presence of an inverted V-shaped pattern in secondary market yields
around primary auctions.
That is, government bond yields rise in the run-up to the date of the auction and
fall back to their original level after the auction.
Their limited risk-bearing capacities and inventory management operations are
seen as key mechanisms driving auction cycles (Beetsma et al.
ECB Working Paper Series No 2927
7

Second, central bank asset purchases can alleviate the cycle by (partly) absorbing the additional supply
of substitutable instruments in the secondary market (van Spronsen and Beetsma 2022).
This expectation is
supported by several analyses on the price effects of central bank bond purchases (D?Amico and King 2013;
Arrata and Nguyen 2017; De Santis and Holm-Hadulla 2020).
Empirically, previous research has provided evidence of auction cycles taking place across different jurisdictions.
(2016) detect auction cycles for government debt in Italy, but not in Germany, during the European
sovereign debt crisis.
Research on the impact of central bank asset purchases on yield cycles around auctions is still limited.
Their paper provides evidence
that Eurosystem?s asset purchases reduce the presence of auction cycles for euro area government debt.
Nonetheless, several questions remain open about auction cycles and unconventional monetary policy
in the euro area.
Therefore, they
provide only a partial picture of auction cycles and central bank asset purchases in Europe.
The use of granular data on central bank asset purchases is especially important in light of the modalities
of monetary policy implementation of the Eurosystem.
Altogether, these elements motivate further investigation of the relationship between central bank asset
purchases and auction cycles in the euro area.
Taken together, these results confirm that Eurosystem?s asset purchases mitigate yield cycles during auction periods and counteract the amplification impact of market volatility.
The findings confirm that the flow
effects of central bank purchases on yield movements around auction dates are driven by lower-rated countries.
Additional analyses provide evidence for an indirect effect of purchases on auction cycles and highlight
the presence of substantial heterogeneity across jurisdictions and purchase programmes.
Flow Effects of Central Bank Asset Purchases on Sovereign Bond
Prices: Evidence from a Natural Experiment.
Federico Maria Ferrara
European Central Bank, Frankfurt am Main, Germany; email: [email protected]
? European Central Bank, 2024
Postal address 60640 Frankfurt am Main, Germany
Telephone
+49 69 1344 0
Website
www.ecb.europa.eu
All rights reserved.

Is home bias biased? New evidence from the investment fund sector

Retrieved on:

Thursday, April 18, 2024

Rule of law, Journal of Accounting Research, Capital control, Domestic, CEPII, Research Papers in Economics, M. B, Regression analysis, Journal of International Economics, Foreign, Economic growth, Methodology, Row, International, Intuition, Risk, Heritage, Economic development, Goethe University Frankfurt, Overweight, Journal of Monetary Economics, Accounting research, International business, Paper, Political economy, Journal of Financial Economics, Environment, Website, United, Category, World Bank, Probability, Medical classification, Sun, Appendix, Handbook, G11, Quarterly Journal of Economics, Frankfurt, Institution, Investment, International economics, Journal of Political Economy, Corporation, G15, Logic, Dow Jones, PDF, Classification, ECB, CEIC, Károlyi, Policy, Outline, Household, Social science, JEL, Real, Bias, FDI, Journal, Research, Journal of Economic Literature, Credit, The Journal of Finance, Literature, Nationalization, European Central Bank, AA, Culture, Growth, Monetary economics, Section 5, Kho, Rule, Rogoff, Developed country, AAA, Finance, SHS, Control, Variable, Section 4, Language, Section 3, Role, Economy, Financial economics, Section 2, Freedom, Central bank, Incidence, Law, The Heritage Foundation, American Economic Review, Obstfeld, SSRN, Foreign direct investment, G23, Corruption, Quarterly Journal, Financial statement analysis, GDP, IMF Economic Review, Schumacher, University, MVI, Demirci, Dependent and independent variables, Lane, Common, Magazine, Bank, Reproduction, Security (finance)

Key Points:

Spring Capital Successfully Exits Investment in Catenda, a Leader in Construction Project Software

Retrieved on:

Friday, March 15, 2024

As the lead investor, Spring Capital has sold all its shares in the transaction on a high IRR for itself and co-investors.

Key Points:

As the lead investor, Spring Capital has sold all its shares in the transaction on a high IRR for itself and co-investors.
Founded in 2009 as a spin-off from SINTEF, Catenda is a leader in Building Information Management (BIM) & Common Data Environment (CDE) software.
Since Spring Capital’s investment through its Scandinavian investment entity Polaris, Catenda has grown significantly, becoming a trusted partner for construction companies and municipalities seeking innovative solutions for large-scale projects.
Construction companies across Europe and Japan have widely adopted the company's software, seeking to streamline operations and improve project outcomes.

ProjectReady's New Construction Management Software Connects, Syncs, and Manages Construction Project Software Ecosystem

Retrieved on:

Wednesday, February 14, 2024

Cloud, Architecture, Multimedia, AEC, Information management, SharePoint, Risk, Dependent and independent variables, Ecosystem, CDE, Development, Software, Construction

WHITE PLAINS, N.Y., Feb. 14, 2024 /PRNewswire/ -- Leading provider of collaborative project information management software for the Architecture, Engineering, and Construction (AEC) industry, ProjectReady, announced it now connects and syncs data, drawings and files between multiple Autodesk Construction Cloud hubs, Procore companies, and SharePoint sites. The new construction management feature, "ReadyConnect," solves challenges that exists when multiple AEC companies on large-scale projects operate their own versions of the same Common Data Environment (CDE) but must collaborate on project information while maintaining the most accurate and current version of project-related content and data.

Key Points:

Connect, sync, and manage multiple Autodesk Construction Cloud hubs, Procore companies and SharePoint sites.
ProjectReady CEO Joe Giegerich said this development gives companies the ability to manage a project's extended software ecosystem.
"There's a lot more to project and program management than maintaining a schedule," said Giegerich.
"The management and successful delivery of complex construction projects requires architects, engineers, general contractors, subcontractors, and vendors, to eliminate software silos.

QUEST WATER STRENGTHENS ADVISORY BOARD

Retrieved on:

Wednesday, January 10, 2024

VANCOUVER, CANADA, Jan. 10, 2024 (GLOBE NEWSWIRE) -- QUEST WATER GLOBAL, INC. (OTC Pink: QWTR) ("Quest" and/or the "Company"), is pleased to announce the expansion of its non-executive Advisory Board (the “Advisory Board”) with the appointment of three new advisors to provide expertise, accelerate growth, and drive impact.

Key Points:

VANCOUVER, CANADA, Jan. 10, 2024 (GLOBE NEWSWIRE) -- QUEST WATER GLOBAL, INC. (OTC Pink: QWTR) ("Quest" and/or the "Company"), is pleased to announce the expansion of its non-executive Advisory Board (the “Advisory Board”) with the appointment of three new advisors to provide expertise, accelerate growth, and drive impact.
Euphresia Luseka is a seasoned water governance expert, social entrepreneur, and programs manager with 14 years of progressive multi-country and multi-donor experience in the Water, Sanitation, and Hygiene (“WASH”) sector in 25 countries.
The prestigious Women on Boards Network and Global Water Partnership recently awarded her for championing gender equity in the water sector.
These globally recognized leaders each bring a depth of experience and leadership to Quest and will join our current, distinguished Advisory Board members, Derk, Rob, and Craig, to provide a well-rounded, expert panel”, stated John Balanko, CEO of Quest.

USAID Taps CHAI, GETF to Launch Coalition That Will Test Innovative Approaches to Address Antimicrobial Resistance in Low- and Middle-Income Countries

Retrieved on:

Friday, January 12, 2024

Philanthropy, Health, Other Philanthropy, Other Health, Foundation, General Health, Pharmaceutical, Dependent and independent variables, USAID, Infection, International development, Therapy, CHAI, AMR, Medical device

The new coalition, the Antimicrobial Resistance Access and Stewardship Initiative (AMRASI), is a groundbreaking initiative that will use a sustainable, market-driven approach to address critical gaps in access to diagnostics and antimicrobials while incentivizing their appropriate use in low- and middle-income countries.

Key Points:

The new coalition, the Antimicrobial Resistance Access and Stewardship Initiative (AMRASI), is a groundbreaking initiative that will use a sustainable, market-driven approach to address critical gaps in access to diagnostics and antimicrobials while incentivizing their appropriate use in low- and middle-income countries.
Following a series of convenings to align on these key pilot areas, the coalition aims to mobilize and launch the targeted pilot to test the model in up to two low- and middle-income countries.
GETF is serving as the AMRASI Secretariat, supporting the coalition to plan for pilot design in the first half of 2024.
"The AMRASI coalition provides a great opportunity to test innovative strategies to combat AMR and develop learnings that can be shared across the sector.

Bausch + Lomb Reports More Than 76 Million Units of Contact Lenses, Lens Care and Eye Care Materials Collected Through ONE By ONE and Biotrue® Eye Care Recycling Programs

Retrieved on:

Wednesday, November 15, 2023

Recycling, Medical Supplies, Health, Environment, Sustainability, Optical, Bausch, NYSE, Patient, Dependent and independent variables, Bausch & Lomb, Contact, Food, Contact lens, Safety, Telescopic sight

Contact lenses, eye care and lens care materials aren’t typically processed in standard recycling facilities due to the small size and the type of plastic used to manufacture them.

Key Points:

Contact lenses, eye care and lens care materials aren’t typically processed in standard recycling facilities due to the small size and the type of plastic used to manufacture them.
“My patients appreciate being able to recycle their used eye health materials through the Bausch + Lomb recycling programs in an environmentally responsible way,” said Jennifer Tsai, O.D., LINE OF SIGHT, New York.
In addition to the United States, Bausch + Lomb has a similar contact lens recycling program in Canada called Every Contact Counts.
To learn more about the Biotrue Eye Care Recycling program, visit https://www.biotrue.com/terracycle/ .

AbbaDox Joins Imaging AI in Practice Demonstration at RSNA 2023

Retrieved on:

Thursday, November 16, 2023

AVENTURA, Fla., Nov. 16, 2023 /PRNewswire/ -- AbbaDox announced today that it will take part in the Imaging Artificial Intelligence in Practice (IAIP) demonstration to be held November 26 – 29 at the 109th Scientific Assembly and Annual Meeting of the Radiological Society of North America (RSNA 2023), the world's leading annual imaging forum, at McCormick Place in Chicago.

Key Points:

AVENTURA, Fla., Nov. 16, 2023 /PRNewswire/ -- AbbaDox announced today that it will take part in the Imaging Artificial Intelligence in Practice (IAIP) demonstration to be held November 26 – 29 at the 109th Scientific Assembly and Annual Meeting of the Radiological Society of North America (RSNA 2023), the world's leading annual imaging forum, at McCormick Place in Chicago.
The IAIP demo is a showcase of new AI technologies and integration standards needed to embed AI into the diagnostic radiology workflow.
By incorporating AI into its RIS, AbbaDox demonstrates a significant leap in radiology practice, showcasing how AI can streamline referrals, pre-registration, scheduling, intake, dictation and reporting processes within the radiology domain.
"Integrating AI into our Radiology Information System is a game changer," said Pierre-Antoine Tricen, Head of Marketing, at AbbaDox.

Too hard basket: why climate change is defeating our political system

Retrieved on:

Sunday, October 1, 2023

When I was first asked to write an opening piece in The Conversation’s series on climate change and the energy transition, I wanted to say no.

Key Points:

When I was first asked to write an opening piece in The Conversation’s series on climate change and the energy transition, I wanted to say no.
It may already be too late to save the world as we know it.
Or should I write “be under threat” instead of “likely be gone”, to soften the story?
The focus on rising temperatures itself makes the future seem more benign than it’s likely to be.

The Albanese government’s softly-softly response

In his 2023 Intergenerational Report Treasurer Jim Chalmers included climate change as one of the five major forces affecting future wellbeing.
It’s one among many, and the emphasis is on the economic opportunities and jobs offered by the energy transformation.
Chief Climate Councillor Tim Flannery said:
Climate dwarfs everything else in this report.
In The New Daily, Michael Pascoe asked, “What is Albanese hiding?
The Labor government’s response to the greatest emergency we face seems set on slow, as if we have time for an incremental response with little disruption to daily life and it’s OK to keep subsidising fossil fuels and approving new gas and coal projects.

Government can and must act

All this after four decades of neoliberalism in which both the federal and state governments have surrendered capacity to the private sector.
But as the COVID crisis showed us, when faced with an emergency our governments can act decisively and put the lives of people ahead of the interests of business.
A report from the Centre for Independent Studies claimed voters born after 1996 were the most progressive since the Second World War.
As the electoral weight shifts away from the old baby boomers Labor’s federal future is likely to be as a minority government with support from Greens and independents who will demand bolder action.

Why we struggle to face facts

Elliot from “Burnt Norton”, the first of his “Four Quartets”:
Go, go, go, said the bird: human kind
Cannot bear very much reality.
Time past and time future
What might have been and what has been

Point to one end, which is always present.
Time past and time future What might have been and what has been Point to one end, which is always present.

Bausch + Lomb’s ONE by ONE and Biotrue® Eye Care Recycling Programs Recognized As Sustainability Service of the Year Award Winners

Retrieved on:

Wednesday, September 20, 2023

General Health, Environment, Health, Recycling, Optical, Contact, Safety, The National German Sustainability Award, Dependent and independent variables, Bausch & Lomb, NYSE, Statue, Sustainability

“Millions of people wear contact lenses and use eye care materials every day, but many don’t realize the environmental waste they generate.

Key Points:

“Millions of people wear contact lenses and use eye care materials every day, but many don’t realize the environmental waste they generate.
Our unique recycling programs provide a way for eye care materials to be properly recycled in an environmentally friendly way,” said Amy Butler, vice president, Global Environment, Health, Safety and Sustainability, Bausch + Lomb.
Bausch + Lomb's ONE by ONE Recycling program, launched in 2016, and the Biotrue Eye Care Recycling program, launched in 2021, make it possible to properly recycle used contact lens, eye care and lens care items.
To learn more about the ONE by ONE Recycling and Biotrue Eye Care Recycling programs, visit https://www.bausch.com/environmental-social-governance/recycling/ .