{
  "title": "Demand for Safe Assets and Spillovers from the Global Dollar Cycle",
  "publication": "IMF Working Papers, April 4, 2025",
  "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2025/04/04/demand-for-safe-assets-and-spillovers-from-the-global-dollar-cycle-565749",
  "canonical": "https://www.imf.org/en/publications/wp/issues/2025/04/04/demand-for-safe-assets-and-spillovers-from-the-global-dollar-cycle-565749",
  "overlayPath": "/en/publications/wp/issues/2025/04/04/demand-for-safe-assets-and-spillovers-from-the-global-dollar-cycle-565749/index.md",
  "summary": "US dollar appreciations can inflict sizable negative cross-border spillovers. We investigate such spillovers from flight-to-safety shocks and the accompanying “global dollar cycle”.",
  "sections": [
    {
      "heading": "Summary findings",
      "content": "- US dollar appreciations can inflict sizable negative cross-border spillovers.\n- The paper investigates spillovers originating from flight-to-safety shocks and the accompanying “global dollar cycle”.\n- Negative real sector spillovers from US dollar appreciations fall disproportionately on emerging markets.\n- Effects on advanced economies are small and short-lived.\n- Emerging market commodity exporters historically experienced larger negative spillovers than commodity importers, reflecting a strong negative link between the US dollar and commodity prices."
    },
    {
      "heading": "Policy implications",
      "content": "- More anchored inflation expectations can mitigate the initial negative spillovers.\n- More flexible exchange rates can speed up the subsequent economic recovery."
    },
    {
      "heading": "Key statistics and publication metadata",
      "content": "- Authors: Cian Allen, Rudolfs Bems, Lukas Boer, Racha Moussa\n- Publication date: April 4, 2025\n- Pages: 54\n- Volume: 2025\n- Issue: 065\n- Series: Working Paper No. 2025/065\n- DOI: https://doi.org/10.5089/9798229007092.001\n- Stock No: WPIEA2025065\n- ISBN: 9798229007092\n- ISSN: 1018-5941\n\nIMF Working Paper — \"Demand for Safe Assets and Spillovers from the Global Dollar Cycle\" (April 4, 2025) by Cian Allen, Rudolfs Bems, Lukas Boer, and Racha Moussa.\n\n---\n\n Content in this bundle\n\n- Working Paper\n  - Working Paper (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Working Paper (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2025/04/04/demand-for-safe-assets-and-spillovers-from-the-global-dollar-cycle-565749"
    }
  ],
  "bullets": [
    "[Markdown version](/en/publications/wp/issues/2025/04/04/demand-for-safe-assets-and-spillovers-from-the-global-dollar-cycle-565749/index.md)",
    "[Structured JSON version](/en/publications/wp/issues/2025/04/04/demand-for-safe-assets-and-spillovers-from-the-global-dollar-cycle-565749/index.json)",
    "[Bundle manifest](/en/publications/wp/issues/2025/04/04/demand-for-safe-assets-and-spillovers-from-the-global-dollar-cycle-565749/bundle-manifest.json)",
    "Authors: Cian Allen, Rudolfs Bems, Lukas Boer, Racha Moussa",
    "Published: April 4, 2025",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9798229007092.001",
    "US dollar appreciations can inflict sizable negative cross-border spillovers.",
    "The paper investigates spillovers originating from flight-to-safety shocks and the accompanying “global dollar cycle”.",
    "Negative real sector spillovers from US dollar appreciations fall disproportionately on emerging markets.",
    "Effects on advanced economies are small and short-lived.",
    "Emerging market commodity exporters historically experienced larger negative spillovers than commodity importers, reflecting a strong negative link between the US dollar and commodity prices.",
    "More anchored inflation expectations can mitigate the initial negative spillovers.",
    "More flexible exchange rates can speed up the subsequent economic recovery.",
    "Authors: Cian Allen, Rudolfs Bems, Lukas Boer, Racha Moussa",
    "Publication date: April 4, 2025",
    "Pages: 54",
    "Volume: 2025",
    "Issue: 065",
    "Series: Working Paper No. 2025/065",
    "DOI: https://doi.org/10.5089/9798229007092.001",
    "Stock No: WPIEA2025065",
    "ISBN: 9798229007092",
    "ISSN: 1018-5941",
    "**Working Paper**"
  ],
  "related": [
    {
      "title": "Working Paper",
      "role": "paper",
      "sourceUrl": "https://www.imf.org/-/media/files/publications/wp/2025/english/wpiea2025065-print-pdf.pdf",
      "summary": {
        "path": "/-/media/files/publications/wp/2025/english/wpiea2025065-print-pdf.pdf.md",
        "mime": "text/markdown"
      },
      "binary": {
        "path": "/-/media/files/publications/wp/2025/english/wpiea2025065-print-pdf.pdf",
        "mime": "application/pdf"
      }
    }
  ],
  "alternates": {
    "markdown": "/en/publications/wp/issues/2025/04/04/demand-for-safe-assets-and-spillovers-from-the-global-dollar-cycle-565749/index.md",
    "json": "/en/publications/wp/issues/2025/04/04/demand-for-safe-assets-and-spillovers-from-the-global-dollar-cycle-565749/index.json",
    "bundleManifest": "/en/publications/wp/issues/2025/04/04/demand-for-safe-assets-and-spillovers-from-the-global-dollar-cycle-565749/bundle-manifest.json"
  },
  "generatedAtUtc": "2026-09-17T01:32:07.671Z"
}