Do Exchange Rates Fluctuations Influence Gold Price in G7 Countries? New Insights from a Nonparametric Causality-in-Quantiles Test

نویسندگان

چکیده

Abstract In the recent era, gold is considered an essential investment source, a source of hedging inflation, and medium monetary exchange. The exchange rate nexus become prominent after events like sovereign debt crisis, subprime mortgage low-interest problem, global financial market solvency. These attract attention researchers academician for investigating dynamics relationship between rates, majority studies discusses linear dynamics, but non-linear are ignored. Therefore, current research investigates price in G7 countries using new technique named nonparametric causality approach. This study uses monthly data from years 1995(January)-2017 (March). empirical results show that return causes prices four out G7, especially at low tails. also gives valuable insights policymakers, exporter’s international portfolio managers, hedge fund managers.

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ژورنال

عنوان ژورنال: Zagreb International Review of Economics and Business

سال: 2021

ISSN: ['1849-1162', '1331-5609']

DOI: https://doi.org/10.2478/zireb-2021-0010