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This pushed down interbank interest rates, despite the central bank's withdrawals.
Interbank interest rates here have now reached the highest levels since the Mexico peso crisis in 1995.
In June 2013, when the PBOC unexpectedly tightened monetary policy, domestic interbank interest rates shot up to 25%.
"Interbank interest rate benchmarks are of systemic importance," said Michel Barnier, the European commissioner in charge of markets.
In the same issue you also report that Deutsche Bank has set aside €1.5bn for a possible record fine for rigging Libor, the interbank interest rate.
The one-month interbank interest rate, which banks charge one another, has declined from a peak of 32.5percentt on April 24 to 11percentthis weekek.
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However, maintenance of the trading margin depends on the interbank call interest rate i.e., the financing interest rate, which again depends on daily trading volumes in the call money market.
This notation represents the real Nifty trading volumes (outputs) rather than the Nifty open interests, where the real call-trading-price-value ratios are calculated through nominal interbank call interest rates.
A separate credit line to back interbank lending, interest rate cuts and a fiscal stimulus package worth £20 billion was supposed to further grease the lending market.
Suppose the interbank call interest rate increases.
In contrast, suppose the interbank call interest rate decreases.
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