The Three- and Six-Month Eurodollar LIBOR Rates Slid Lower Today
Right now, the yield on the 3-month U.S. Treasury Bill is 0.18%. Therefore, the 3-month TED spread is currently 0.415 percentage point; it was 0.43688 yesterday, 0.4225 last Friday and 4.60875 on October 10, 2008 during the peak of the global credit crisis.
For the 3-month TED spread, a figure between zero and 0.50 percentage point (0.50 percentage point = 50 basis points) is a strong indication that large, international banks are lending money to each other with confidence.
A Eurodollar is a U.S. dollar deposited in any bank outside the United States.
Click here for historical LIBOR values.
Click here for a chart comparing LIBOR to the Prime Rate and the target fed funds rate.
Click here to read about how U.S. Dollar LIBOR fixing works.
Labels: libor, TED_spread
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