Short-term interest rates

Short-term interest rates - Normally the 90 day rate.
Sidelined - A major currency that is lightly traded due to major market interest being in another currency pair.

When short-term Interest rates are higher than Long-term rates. Antithesis of positive yield curve.

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Short-term interest rates
Interest rates on loan contracts-or debt instruments such as Treasury bills, bank certificates of deposit or commerical paper-having maturities of less than one year. Often called money market rates.

Short-Term Interest Rates : Normally the 90 day rate.
Shorts : See Short Forward Date-Rate.
SHP : ISO 4217 currency code, Currency used in Saint Helena, called Pound...
SI : See Swing Index.

However, if short-term interest rates rise and the lending rate jumps to 6 percent, your 5 percent return is no longer so attractive, and there are probably other options that could generate more income for your investment.

Bank balance sheets are often described in terms of their relative responsiveness to changes in short-term interest rates.

Will it continue to raise short-term interest rates or will it hold off at its next Federal Open Market Committee meeting on September 20?

Much of the success of the dollar-yen carry trade strategy is that short-term interest rates are 4%-5% higher in the United States than in Japan.

Positive yield curves have low short-term interest rates and higher long term interest rates. Negative yield curves have higher short-term interest rates and lower long term interest rates. Yield curves are important.

In the early 1980s, for example, the money supply numbers determined short-term interest rates because of Fed policy at that time. A Fed policy change in 1982 broke the link between monetary growth and interest rate changes.

Money market funds pay dividends that generally reflect short-term interest rates, and historically the returns for money market funds have been lower than for either bond or stock funds.

The Taylor rule is an economic concept that suggests how the United States Federal Reserve or any central bank should set short-term interest rates.

The official cash rate (OCR), which affects short-term interest rates, is set by the RBNZ Governor.

A policy of having low interest rates; a central bank is attempting to stimulate economic growth by lowering short-term interest rates. If interest rates are lower, more people and businesses may borrow money, thus stimulating growth.

Find out what happens when short-term interest rates exceed long-term rates. The Impact Of An Inverted Yield Curve
This investment vehicle is often the perfect stop-gap measure for growing your money. Get A Short-Term Advantage In The Money Market ...

The London Interbank Offered Rate or LIBOR is a a widely used benchmark for short-term interest rates.

The resulting curve shows if short-term interest rates are higher or lower than long-term rates. It is used as a tool by analysts to help determine the direction of interest rates.

A yield-rate environment in which short-term interest rates are increasing at a faster rate than long-term interest rates. This causes the yield curve to flatten as short-term and long-term rates start to converge.
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inverted yield: This is an unusual situation where short-term interest rates are higher than long-term rates. Normally, lenders receive a higher yield when committing their money for a longer period of time.

Quantitative ease: A strategy used by central banks once targeting short-term interest rates becomes ineffective because rates have reached zero (or close to it).

An account that pays interest based on short-term interest rates.
Mortgage bond
A bond in which the issuer has granted the bondholders a lien against the pledged assets. Collateral trust bonds.

The ECB’s open market operations serve to manoeuvre short-term interest rates, to handle the liquidity situation in the money market, and to indicate the position of monetary policy in the Euro zone.

Auction-rate securities, also known as ARS, are long-term, variable rate bonds, which are tied to short-term interest rates.

Definition
Rate intermediation
Borrowing funds at short-term interest rates and lending the funds at longer term fixed rates.
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Interest Rate Futures - T-Bonds represent long-term interest rates and Eurodollars are for short-term interest rates.
Energy Futures - Natural gas, heating oil and crude oil futures are the most widely known in this sector.

Inverted yield curve
When short-term interest rates are higher than long-term rates. Antithesis of positive yield curve.
Investment
The creation of more money through the use of capital.

Inverted Yield Curve: An inverted yield curve is a graph representing an unusual economic situation in which short-term interest rates are higher than long-term interest rates.

The central bank in the United States that seeks to control the economy by raising and lowering short-term interest rates and the money supply.
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Markets for instruments, such as CD's and other bank deposits that carry short-term interest rates.
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LIBO - Stands for the London Interbank Offer Rate, and is the rate at which major international banks lend to one another. It is widely used as the benchmark for short-term interest rates.

of investment that provides a return in the form of fixed periodic payments and the eventual return of principal at maturity. Unlike a variable-income security, where payments change based on some underlying measure such as short-term interest rates, ...

market fund A mutual fund that invests in high quality, short-term debt instruments such as Treasury bills or certificates of deposit. Money market fund investors earn a steady stream of interest income that varies with short-term interest rates.

The level of the discount depends on the level of prevailing interest rates. In general, the higher short-term interest rates are, the greater the discount.

Related: Capital market Money market demand account An account that pays interest based on short-term interest rates. Mortgage-backed securities Securities backed by a pool of mortgage loans.

Thus, the Mid-Curve provides a more focused (and less expensive) way to express a view on the news that develops in the next six months about the level of short-term interest rates that we will observe one or two years into the future.

[ITDS] ascending or positive yield curve The interest rate structure which exists when long-term interest rates exceed short-term interest rates. Compare 'Inverted or Negative Yield Curve'.

See also: Short, Interest Rate, Interest, Interest Rates, Short-term