And the Fed would face the delicate job if explaining to market traders that the short term rate they had been plugging into all their algorithms was variable, after all.
An accommodative monetary policy would involve keeping the fed funds rate (the short-term rate at which banks lend to each other) at historic lows so as to encourage consumption and provide cheaper credit to consumers and businesses.
The slope of the yield curve can be measured in varying ways but is conventionally thought of as the long-term government bond rate minus the short-term government bond rate.
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Greenspan noted that there has been a disconnect in recent years between the Fed's short-term rate moves and long-term rates, such as those that apply to mortgages.
"The Fed will drag rates down everywhere just by holding the short-term rate lower in the U.S., " says Dan Dektar, chief investment officer at Smith Breeden Associates in Durham, N.
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Since December 2008, the central bank has kept its short-term interest rate target at 0.00%-0.25%.
One Fed official thinks the first boost in the short-term lending rate won't occur until 2016.
At a zero short-term interest rate, the central bank would have to work on adjusting longer-term rates.
Economists also expect the Federal Reserve to cut even further the short-term interest rate, now its lowest in decades.
Delta's short-term booking rate increased 35 points over the same period in 2012.
As for France, its short-term interest rate is close to Germany's, at 3.4%.
To influence demand, the central banks move a short-term interest rate up or down by adjusting the supply of bank reserves.
In December, it exhausted its supply of conventional monetary ammunition when it lowered its short term-interest rate to between zero and 0.25%.
The most startling aspect of the proposed deal: Bucksbaum is funding the deal almost entirely by debt, much of it short term and floating rate.
Only last week the ECB raised its short-term cash rate to 1.50%.
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It comes about because the Federal Reserve System, in its so far failed effort to stimulate the economy, has fixed the short-term interest rate at 0%.
Yields on Mexican short-term interest rate swaps were little changed after the minutes as investors stuck to bets that rates will remain on hold into 2014.
Then in September, the Fed cut its key short-term interest rate for the first time since 2003 by one-half percentage point from 5.25 percent to 4.75 percent.
The Fed has said it plans to keep its key short-term interest rate near zero at least until the unemployment rate dips below 6.5 percent from its current 7.6 percent.
Because there are fees to do this, the council lowered the gold return over the time period studied and used a short-term cash rate as a benchmark for the borrowing cost.
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The Federal Reserve's decision on September 29th to lower its main short-term interest rate by a quarter point is simply an injection of Vitamin B-12, meant to give a healthy economy a bit more vigour.
U.S. equity prices continue to rise as a benign short-term interest-rate policy holds sway.
Fewer than 700, 000 short-term interest-rate futures contracts traded on the Chicago Mercantile Exchange just six years ago.
If you sell before a year has passed, you will be subject to the short-term capital gains rate.
But last month, when the French futures exchange, Matif, opened electronic markets alongside its pits, trading in short-term interest-rate contracts quickly migrated to the computers.
In this game your objective is to minimize the gain and to maximize the portion of it considered long term (taxed federally at up to 15%) rather than short term (top federal rate of 35%).
Some seniors have been burned by cards with a short-term low interest rate followed by a high interest rate, so be sure to read the fine print and know how long the rate will last.
The yield curve is flattening in America (the gap between the short-term federal funds rate and yields on ten-year Treasuries is only a smidgeon more than one percentage point) and in Britain it is inverted (long bonds yield less than shorter ones).
The U.S. has swapped its relatively long-term expensive debts for short-term ones with a low interest rate.
These involve selling short-term December 1999 interest-rate futures contracts and buying September 1999 and March 2000 ones, on the assumption that short-term rates will spike over the millennium because of extra demand for cash.
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