Distorted LIBOR Continues To Show Stress In Markets
It is estimated that $15 trillion in securities, derivatives and loans are tied to LIBOR. For this reason alone, this market bears watching. Until all 16 reporting banks can once again offer similar rates on interbank loans and overnight LIBOR comes back into line with the targeted federal funds rate, it is too early to sound the “all clear” signal on the current credit crisis.
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Market Facts — October 4, 2007
Distorted LIBOR Continues To Show Stress In Markets It is estimated that $15 trillion in securities, derivatives and loans are tied to LIBOR. For this reason alone, this market bears watching. Until all 16 reporting banks can once again offer similar rates on interbank loans and overnight LIBOR comes back into line with the targeted… Continue reading Untitled