February 2019: New VoxEU Column – When the dollar appreciates, credit tightens for US corporates
Friederike Niepmann, Tim Schmidt-Eisenlohr 06 February 2019 The issuance of syndicated loans, including leveraged loans, has grown substantially in the US. Institutional investors increasingly hold these loans. This column discusses how this has created a strong link between the dollar and US corporate credit conditions. When the dollar appreciates, institutional investors demand fewer loans on[…]