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Friday, October 27, 2023

Selected Interest Rats as of 10/25/2023

The plot shows the selected interest rates for different types of securities, including U.S. Treasury securities, bank prime loan rate, and 3-month Treasury bill secondary market rate. The interest rates are quoted on an investment basis, which means that they are adjusted for inflation.

The plot shows that the market yield on 10-year Treasury bonds is the lowest of all the interest rates, at 4.38%. The next lowest interest rates are on 5-year Treasury bonds (4.86%) and 2-year Treasury bonds (5.14%). The interest rate on 30-year Treasury bonds is 5.00%, which is slightly higher than the interest rates on shorter-term Treasury bonds.

The bank prime loan rate, which is the interest rate that banks charge their most creditworthy customers, is 8.50%. This is the highest interest rate on the plot.

The 3-month Treasury bill secondary market rate, which is the interest rate on short-term Treasury bills that are traded on the secondary market, is 5.33%. This is higher than the market yield on 1-year Treasury bonds (5.44%) and 3-year Treasury bonds (4.86%).

Overall, the plot shows that interest rates are relatively low at the moment, but they are starting to rise. This is due to a number of factors, including inflation and the Federal Reserve's decision to raise interest rates.





 

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