Dollar Is New Fear Index as Easing Renders VIX Useless, BIS Says
- Rise in dollar liabilities makes its strength hurt risk-taking
- ‘There may be no winners from a stronger dollar’: BIS’s Shin
This Dollar Rally May Be Different: Pimco's Clarida
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The world’s most-traded currency is becoming a fear gauge.
That’s the opinion of Hyun Song Shin, head of research at the Bank for International Settlements. A stronger dollar can depress demand for credit while reflecting reduced investor appetite for the riskiest assets, Shin wrote in a report released Tuesday by the BIS.