Asked by Itzamar Gutierrez on May 22, 2024

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What interest rate have US regulators proposed be the new short term benchmark rate?

A) SONIA
B) LIBOR
C) Tokyo Interbank rate
D) Euribor
E) US Treasury Repo

US Treasury Repo

A form of short-term borrowing for dealers in government securities, using U.S. Treasury securities as collateral.

SONIA

The Sterling Overnight Index Average, an important interest rate benchmark in the UK that represents the average of interest rates banks pay to borrow sterling overnight from other financial institutions.

LIBOR

The London Interbank Offered Rate, a benchmark interest rate at which major global banks lend to one another in the international interbank market for short-term loans.

  • Identify the crucial role and value of leading financial metrics and benchmarks within global finance.
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Shawntina Trotter-DanielMay 26, 2024
Final Answer :
E
Explanation :
US regulators have proposed the US Treasury Repo rate as the new short-term benchmark rate to replace LIBOR.