Libor-OIS Spread Falls to Levels Greenspan Said is "Normal"
Tweet
Share
E-mail
The Libor-OIS spread dropped 1 basis point to 25 basis points today, the lowest since Jan 24, 2008 and the level former Federal Reserve Chairman Alan Greenspan called "normal," according to a report from Bloomberg.
The data is further evidence that the credit freeze is thawing.
The Libor-OIS spread measures the premium banks charge over what traders predict the Fed's daily effective federal fund rate with average over the next three months. It averaged 11 basis points in the five years leading up to August 2007, when the credit crisis started in earnest.
The data is further evidence that the credit freeze is thawing.
The Libor-OIS spread measures the premium banks charge over what traders predict the Fed's daily effective federal fund rate with average over the next three months. It averaged 11 basis points in the five years leading up to August 2007, when the credit crisis started in earnest.
You May Also Be Interested In
- Fisker (FSR) files form 10-K, sees more job cuts, reiterates going concern doubts
- Citi: 'Very high likelihood' of a positive Q1 EPS surprise
- Cognizant (CTSH) and Microsoft (MSFT) announce global partnership to expand adoption of generative AI
Create E-mail Alert Related Categories
Insiders' Blog, Trader TalkRelated Entities
Alan GreenspanSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
