WSJ:Key Dollar Borrowing Rate Falls, Euro Rises, Sterling Unchanged
By Nick Cawley
The cost of borrowing dollars for three months in the London interbank market was lower Tuesday, while the euro rate edged higher.
Data from the British Bankers' Association showed the three-month dollar London Interbank Offered Rate, known as Libor, fell to 0.27810% versus 0.27940% Monday.
The spread between the three-month dollar Libor and overnight index swaps, a barometer of market stress, was marginally higher at 14.7 basis points compared to 14.5 basis points Monday.
The sterling borrowing rate was unchanged at 0.50688%, while the euro rate edged higher to 0.13071% from 0.12929%.
