12 04 2017 | by Victor Xing | Central Banks
10 17 2017 | by Victor Xing | Capital Markets
How we learned to stop worrying and love the “fake markets”
09 20 2017 | by Victor Xing | Central Banks
QE’s distributional effects a rising political liability
04 18 2017 | by Victor Xing | Capital Markets
Persistent low volatility threatens active fund managers
02 17 2017 | by Victor Xing | Economics
Looming risks through the prism of bifurcated housing market
01 11 2017 | by Victor Xing | Economics
Financial risk contagion: China’s capital outflow
12 22 2016 | by Victor Xing | Economics
November PCE: dollar strength weighed on goods inflation
12 14 2016 | by Victor Xing | Central Banks
A less-hawkish interpretation of the December FOMC
12 02 2016 | by Victor Xing | Economics
November Payrolls and Governor Powell on risk management
11 15 2016 | by Victor Xing | Central Banks
November FOMC minutes and debates behind guidance change
10 04 2015 | by Victor Xing | Economics
What is IMF’s SDR (Special Drawing Rights)?
SDR stands for Special Drawing Rights. It was originally created in 1969 as a new international reserve asset by the IMF (with value initially at 0.888671 grams of fine gold, or one U.S. dollar at the time) under the now defunct Bretton Woods fixed exchange rate system, where countries would maintain their exchange rates by tying their currency to gold.
The system ended when the U.S. unilaterally terminated convertibility of the US dollar to gold in 1971, and many fixed currencies became free-floating.
As a result, SDR became less useful two years after its inception, and the IMF subsequently redefined it as a basket of currencies, consists of the euro, yen, pound sterling, dollar, and most recently the yuan. Value of the SDR to the dollar is available daily on the IMF website. Compositions of SDR currencies is usually reviewed every 5 years, with the most recent review took place at the end of 2015.
Next article10 02 2015 | by Victor Xing | Capital Markets