We also hope that now the single bond cash settled futures have seen some encouraging response from the market, the exchanges could also consider re-launching futures based on a basket, which could be a much more efficient instrument from a hedging perspective. It could also improve liquidity in some of the illiquid bonds. Ready forward facility 14.
In particular, a large body of literature supports the view that a worldwide glut of both liquidity and planned savings over investment – stemming from, respectively, reserve-issuing and reserve- accumulating economies – was a key driver of the hazardous environment at the root of the global financial and economic crisis which broke out in summer 2007.7 All in all, as in Triffin’s time, there is no a credible mechanism for symmetric adjustment of imbalances at work today, even though we now have more flexible exchange rates, more financial innovation, more capital mobility and more private international liquidity.