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Libor is London Inter-bank Offer Rate and Libid is London Inter-bank Bid Rate. Libor is always higher than Libid. If banks use Libor to lend (ask) and Libid to buy (bid) how come that while one bank expects to get a higher rate while lending hope to get a lower rate while borrowing? While one bank buys the other sells; while it is a bid rate to one it is offer rate to the other! How is it that this market function? Is it because the bid rate is expected to decrease within a day and the offer rate expected to increase simultaneously to keep-up with the margins in the inter-bank market?
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∙ 12y ago
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Is LIBOR normally higher or lower than the US prime interest rate?
It is normally higher than the US prime interest rate.
12 percent per annum and 2 percent above libor which is favorable?
"2% above Libor" would mean a percentage that is 2 percent more than the Libor rate. You would have to get the current rates (there are different rates for different conditions), add 2%, and then compare.
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11 is higher than 8.8
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Odd numbers are always higher than even numbers . And even numbers are easier to add than odd numbers for some people .
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It is always less than 1 or 100%.It is always less than 1 or 100%.It is always less than 1 or 100%.It is always less than 1 or 100%.
What is the full form of libor?
The London Interbank Offered Rate (or LIBOR, pronounced /ˈlaɪbɔr/) is a daily reference rate based on the interest rates at which banks offer to lend unsecured funds to other banks in the London wholesale money market (or interbank market). LIBOR will be slightly higher than the London Interbank Bid Rate (LIBID), the rate at which banks are prepared to accept deposits.
Is LIBOR normally higher or lower than the US prime interest rate?
It is normally higher than the US prime interest rate.
12 percent per annum and 2 percent above libor which is favorable?
"2% above Libor" would mean a percentage that is 2 percent more than the Libor rate. You would have to get the current rates (there are different rates for different conditions), add 2%, and then compare.
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