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Dollar Libor falls further

Interbank lending confidence rose today, marked by a 0.17 percentage point fall in three-month dollar Libor.

Three-month dollar borrowing costs fell to 2.22% from 2.39% yesterday. Sterling Libor fell from 4.15% to 4.12%, while three-month Euro borrowing rates fell from 4.19% to 4.15%.

In the overnight markets, dollar Libor and sterling rates remained constant from yesterday at 0.4% and 3% respectively. Euro Libor fell from 3.01% to 2.98%.

The Ted spread, a measure of perceived counterparty risk, closed

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