Eurodollar interest rate

Eurodollar interest rate

Interest rate earned on a Eurodollar deposit.
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The IMM and SIMEX also trade a Eurodollar interest rate futures contract based on three-month LIBOR.
All returns are expressed in US dollars and are converted into excess returns by subtracting the one-month Eurodollar interest rate, taken as the risk-free rate in our study.
We employ the following variables: the dividend yield of the region in excess of the 30-day Eurodollar interest rate which is denoted by (RDY), the return of regional market index (RRENT) and the region term premium which is denoted by (RPRM), The local instrumental variable include the dividend yield of a market portfolio (RDIV), the return on the stock market index in excess of the 30-day Eurodollar interest rate (RRI), and the variation in the inflation rate (VIR).
If the reserve requirement reduction were viewed as leading to a greater risk of failure for depository institutions, as convention would seem to argue, we would expect the eurodollar interest rate to rise relative to the Treasury bill interest rate.
As both futures prices are 100 minus the respective interest rate, the TED spread can equivalently be represented as the eurodollar interest rate minus the Treasury bill rate.
The swaps data consist of one-week changes in rates from Wednesday to Wednesday, where the rates are the fixed rate in fixed-for-floating Eurodollar interest rate swaps.
Swaps rates are the fixed rate in fixed-for-floating interest rate swaps, where the floating rate is indexed to a short-term Eurodollar interest rate (often a three-month rate).
That Eurodollar interest rates are the same in Frankfurt and Manila is not necessarily inconsistent with the hypothesis that market participants expect depositors will bear sovereign risk in the residential jurisdiction.
The difference between the term structure of implied volatility and the term structure of the historical volatility of forward Eurodollar interest rates is shown in Chart 2.
The third then estimates the implied volatility of three-month eurodollar interest rates from 1985 to 2001 and evaluates its ability to predict realized volatility.
Targeted to market professionals and individual investors, the letter includes examination of support, resistance and momentum for such financial instruments as Dow Jones Industrial Average, NASDQ Composite, 10-Year Yield, Eurodollar interest rates, Nymex crude, and Euro and Japanese Yen interest rates.
The largest additions to interest receipts occur in 1989-91, when both the outstanding positions and the short-term Eurodollar interest rates applied to them rose rapidly.