interest rates on various debt instruments bought and sold in the open market that are directly responsive to supply and demand. Such open-market rates are distinguished from the discount rate, set by the Federal Reserve Board as a deliberate measure to influence other rates, and from bank commercial loan rates, which are directly influenced by Federal Reserve policy.
interest rates on various debt instruments bought and sold in the open market that are directly responsive to supply and demand. Such open, market rates are distinguished from the discount rate, set by the Federal Reserve Board as a deliberate measure to influence other rates, and from bank commercial loan rates, which are directly influenced by Federal Reserve policy. The rates on short-term instruments like commercial paper and banker's acceptance are examples of open-market rates, as are yields on interest-bearing securities of all types traded in the secondary market.
