Strain eases on interbank lending

After a turbulent week, pressure on the interbank lending markets eased today as further injections of liquidity were announced and talks on the US financial rescue package resumed.

The Ted spread, which tracks the difference between three-month Libor and US Treasury bills, dropped today to 2.92% after reaching 3.02% on September 24 and 25.

Three-month US dollar Libor also declined, falling to 3.762% today, from a peak of 3.769% yesterday. Conversely, the cost of borrowing euro for three months reached a monthly high, climbing to 5.139% from 5.111% on September 25.

Since peaking at 6.438% on September 16, the overnight US dollar Libor rate has continued its downward trend

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

Register

Want to know what’s included in our free membership? Click here

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here