Fernando Avalos

Senior Economist at the BIS. Looking at the world through the prism of economics. Opinions and views are mine. RT does not mean agreement or endorsement.

[Fernando Avalos @Fer_H_Avalos]

@BumperCrop1 Ja! Todo bien Jose, abrazo!! Entonces, es dable suponer que en el actual régimen cambiario y de retenciones, el precio de fertilizantes no es un factor muy relevante en la decisión de siembra que se viene para los productores argentinos?

[Fernando Avalos @Fer_H_Avalos]

@s8mb Way to go Sam!!! It was high time for you to start realizing that!!! 👍

[Fernando Avalos @Fer_H_Avalos]

@gave_vincent Plans to publish in English?

[Bank for International Settlements @BIS_org]

Listen to the podcast of Claudio Borio and @HyunSongShin talking with journalists about the #BISQuarterly Review. Topics include market expectations for #MonetaryPolicy, inflation, #BNPL, #LabourMarkets and #MMFs https://t.co/3RaZgRjDe0

[Bank for International Settlements @BIS_org]

The type of collateral held by central counterparties varies across regions: those in Europe and the Americas predominantly hold government bonds, those in Asia-Pacific hold more cash #BISQuarterly #Collateral #CCPs https://t.co/C9P2Xts2NU

[Bank for International Settlements @BIS_org]

The liquid assets held by central counterparties globally stood at $1.3 trillion at mid-2023, mostly consisting of government bonds and "cash”, ie deposits at central banks, reverse repos and unsecured bank deposits #BISQuarterly #Collateral #CCPs https://t.co/C9P2Xts2NU

[Fernando Avalos @Fer_H_Avalos]

@marco_jacopo Indeed!!! 😉👍

[Fernando Avalos @Fer_H_Avalos]

Unusually high funding needs seems to have kept the upward pressure on repo volumes until the market finally malfunctioned on Sep 16-17 2019.

[Fernando Avalos @Fer_H_Avalos]

Also, in Box A of the overview, we look at the cash-futures basis trade and risks for the Treasuries market.

Margin leverage and vulnerabilities in US Treasury futures https://t.co/TNCl717CpS via @bis_org

[Fernando Avalos @Fer_H_Avalos]

Repo volumes stayed that high all the way to Sep 17. Why? The answer has to be that, among other factors, those funds which did not unwind positions needed *more* funding to post initial AND variation margins, which were rising as upward pressure to futures prices continued.

[Fernando Avalos @Fer_H_Avalos]

The latest edition of the BIS Quarterly Review (September 2023) is out! In this issue, together with the usual analysis of recent market developments, there is a focus on banks’ funding and risk management

https://t.co/aqSC6NtzgS via @bis_org

[Fernando Avalos @Fer_H_Avalos]

Fundamentals shifted last year in European gas and electricity markets. But futures prices seemed to have also reflected a disorderly unwinding of positions, as margin requirements skyrocketed. #oott #natgas #electricitymarkets
https://t.co/zArG133oez via @bis_org

[Fernando Avalos @Fer_H_Avalos]

@lucasllach Unos 3000

[Fernando Avalos @Fer_H_Avalos]

The energy shock has entered its ‘simmering’ phase. Now the real (micro)economy digests and adapts to the relative price dislocations. We look at some of the fallout, the outlook and the policy response https://t.co/dF8lf2U8VS #OOTT #NaturalGas #commodities

[Fernando Avalos @Fer_H_Avalos]

@JohnHCochrane Well, they ARE left of Europe (only physically, for now). BTW John, great timing. Anybody trying to understand what just happened over there the last month (and may happen next), should be seriously considering to get your new book on the fiscal theory of the price level…

[Fernando Avalos @Fer_H_Avalos]

@jfarchy After being wound down well below the technically minimum levels (which the Dutch regulator put at 30 bcm/y in 2011), Groningen can’t start producing meaningful amounts right away. NAM will need to invest to repair the damage to the wells. Not likely, given the political baggage