What is 'London Inter-Bank Offered Rate (LIBOR)'?

LIBOR is a benchmark interest rate at which major global lend to one another in the international interbank market for short-term loans. ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

| Term of the Day London Inter-Bank Offered Rate (LIBOR) The London Inter-Bank Offered Rate (LIBOR) is a benchmark interest rate at which major global banks lend to one another in the international interbank market for short-term loans. LIBOR, which stands for London Interbank Offered Rate, serves as a globally accepted key benchmark interest rate that indicates borrowing costs between banks. The rate is calculated and published each day by the Intercontinental Exchange (ICE). Read More » Related to "London Inter-Bank Offered Rate (LIBOR)" How is Libor determined? The leading indicator used to price debt instruments, LIBOR is produced once a day by the Intercontinental Exchange (ICE) based on information from global banks. Read More » What Are the Differences Between the Federal Funds Rate and LIBOR? The Federal Funds Rate and the London Interbank Offered Rate (LIBOR) are the two most prominently featured interest rates in the U.S. and abroad. Read More » LIBID vs. LIBOR: What's the Difference? LIBID and LIBOR are benchmark rates set by banks in the London interbank market, referring to what banks are willing to charge or pay for loans/deposits. Read More » Related Definitions Benchmark A benchmark is a standard against which the performance of a security, mutual fund or investment manager can be measured. Read More » Intercontinental Exchange (ICE) The Intercontinental Exchange is a market-based in Atlanta, Georgia that facilitates the electronic exchange of energy commodities. Read More » Interbank Deposits In an interbank deposit, one bank holds funds on behalf of another bank. Read More » The LIBOR Scandal The LIBOR scandal, which came to light in 2012, involved a scheme by bankers to manipulate the London Interbank Offered Rate (LIBOR) for profit. Read More » CONNECT WITH INVESTOPEDIA Email sent to: mondemand.forex@blogger.com To update your newsletter preferences or unsubscribe, click here. 114 West 41st St, floor 8 New York NY 10036 © 2019, Investopedia, LLC, All Rights Reserved | Privacy Policy