Sweetness by the pound: Sugar and currency correlations in pre-Brexit UK prices
In observing British pound spot prices and European sugar import prices over the 2004–2016 period, an unusually strong currency-commodity correlation is detected and statistically validated. This correlation is the result of a single firm dominating European refining, effectively fixing the import p...
| Main Author: | |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Elsevier
2022-03-01
|
| Series: | Borsa Istanbul Review |
| Subjects: | |
| Online Access: | http://www.sciencedirect.com/science/article/pii/S2214845021000582 |
| _version_ | 1811180314589921280 |
|---|---|
| author | Chase Christopher Cicchetti |
| author_facet | Chase Christopher Cicchetti |
| author_sort | Chase Christopher Cicchetti |
| collection | DOAJ |
| description | In observing British pound spot prices and European sugar import prices over the 2004–2016 period, an unusually strong currency-commodity correlation is detected and statistically validated. This correlation is the result of a single firm dominating European refining, effectively fixing the import price to sterling. This paper proposes a generalized pricing-power detection framework based on currency-commodity correlation and corporate consolidation to efficiently detect such future instances, and to inform future industrial organization and currency-commodity research. |
| first_indexed | 2024-04-11T09:00:49Z |
| format | Article |
| id | doaj.art-be901843b40744cdb1761d9ff2197b8a |
| institution | Directory Open Access Journal |
| issn | 2214-8450 |
| language | English |
| last_indexed | 2024-04-11T09:00:49Z |
| publishDate | 2022-03-01 |
| publisher | Elsevier |
| record_format | Article |
| series | Borsa Istanbul Review |
| spelling | doaj.art-be901843b40744cdb1761d9ff2197b8a2022-12-22T04:32:48ZengElsevierBorsa Istanbul Review2214-84502022-03-01222400408Sweetness by the pound: Sugar and currency correlations in pre-Brexit UK pricesChase Christopher Cicchetti0City Doctoral College, City of London UKIn observing British pound spot prices and European sugar import prices over the 2004–2016 period, an unusually strong currency-commodity correlation is detected and statistically validated. This correlation is the result of a single firm dominating European refining, effectively fixing the import price to sterling. This paper proposes a generalized pricing-power detection framework based on currency-commodity correlation and corporate consolidation to efficiently detect such future instances, and to inform future industrial organization and currency-commodity research.http://www.sciencedirect.com/science/article/pii/S2214845021000582Currency riskCommodity currencySterlingSugarPricing power |
| spellingShingle | Chase Christopher Cicchetti Sweetness by the pound: Sugar and currency correlations in pre-Brexit UK prices Borsa Istanbul Review Currency risk Commodity currency Sterling Sugar Pricing power |
| title | Sweetness by the pound: Sugar and currency correlations in pre-Brexit UK prices |
| title_full | Sweetness by the pound: Sugar and currency correlations in pre-Brexit UK prices |
| title_fullStr | Sweetness by the pound: Sugar and currency correlations in pre-Brexit UK prices |
| title_full_unstemmed | Sweetness by the pound: Sugar and currency correlations in pre-Brexit UK prices |
| title_short | Sweetness by the pound: Sugar and currency correlations in pre-Brexit UK prices |
| title_sort | sweetness by the pound sugar and currency correlations in pre brexit uk prices |
| topic | Currency risk Commodity currency Sterling Sugar Pricing power |
| url | http://www.sciencedirect.com/science/article/pii/S2214845021000582 |
| work_keys_str_mv | AT chasechristophercicchetti sweetnessbythepoundsugarandcurrencycorrelationsinprebrexitukprices |