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Libor stands for the London interbank offered rate and is the benchmark for interest rates in the City.
UBS will plead guilty to manipulating the Libor rate banks used as a benchmark for interest rates after prosecutors said the bank violated an earlier deal.
Used as a benchmark for interest rates around the world, it's assembled by asking a panel of big banks to estimate what it would cost them to borrow money today, if they had to.
At that time, if the government ceased to issue bonds and notes, the Treasury market would lose its role as a benchmark for interest rates, a haven for worried investors and a tool in many of Wall Street's financial transactions.
And if the government ceases to issue bonds and notes, the Treasury market would lose its role as a benchmark for interest rates, a haven for worried investors and a tool in many of Wall Street's regular financial transactions.
The recent failures of MF Global and Peregrine Financial, and the reported manipulation of the Libor benchmark for interest rates, could not have come at a worse time for the risk management industry.
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DealBook » Banks Manipulated Key Rate for Derivatives, Regulator Finds | Bloomberg News reports: "U.S. investigators have uncovered evidence that banks reaped millions of dollars in trading profits at the expense of companies and pension funds by manipulating a benchmark for interest-rate derivatives".
The yield is a common benchmark for setting interest rates on corporate debt and mortgages.
Central-bank policy works best when it provides a benchmark for other interest rates in the economy.
He argues that it no longer really exists, assuming it ever did, and wants to find a new benchmark for floating interest rate contracts.
The interest rate — the London Interbank Offered Rate, or Libor — is supposed to reflect the rate at which banks lend to one another and is used as a benchmark for other interest rates around the world.
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