The Corporate Spread Curve and Industrial Production in the United States /

The term structure of domestic investment grade bond spreads - or corporate spread curve - contains useful information to predict future changes in industrial production, beyond the information already contained in interest rates, commercial paper-treasury bill spreads, and lagged values of industri...

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Autor principal: Chan-Lau, Jorge
Altres autors: Ivaschenko, Iryna
Format: Revista
Idioma:English
Publicat: Washington, D.C. : International Monetary Fund, 2002.
Col·lecció:IMF Working Papers; Working Paper ; No. 2002/008
Accés en línia:Full text available on IMF
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Sumari:The term structure of domestic investment grade bond spreads - or corporate spread curve - contains useful information to predict future changes in industrial production, beyond the information already contained in interest rates, commercial paper-treasury bill spreads, and lagged values of industrial production. In fact, the corporate spread curve can explain the cumulative growth rate of industrial production over 3- to 48-month horizons, and the marginal growth rate over 6- to 18-month horizons. Unlike other financial variables, the corporate spread curve has been a stable predictor of real activity for the last fifteen years.
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Descripció física:1 online resource (44 pages)
Format:Mode of access: Internet
ISSN:1018-5941
Accés:Electronic access restricted to authorized BRAC University faculty, staff and students