LIBOR overnight rate was 5.21% last Friday.. it is 1.93% today.

[scheming daemons]

Forget the DJIA.

THIS tells you the bailout is working and that credit markets are unfreezing.



The DJIA has nothing to do with the crisis we faced and that the bailout was aimed at.

[bread_and_roses]

1. The crisis we face is that the real economy is rotten

Cheap Labor, cheap credit at the bottom and a "shadow" market at the top - oppression, exploitation, and fraud: capitalism at its' finest.

[marmar]

2. Umm, where are you getting your LIBORs from?

This week Month ago Year ago
Bond Buyer's 20 bond index 5.47 4.54 4.48
FNMA 30 yr Mtg Com del 60 days 6.44 5.32 6.32
1 Month LIBOR Rate 4.47 2.75 5.04
3 Month LIBOR Rate 4.64 2.88 5.21
6 Month LIBOR Rate 4.26 3.02 5.13
Call Money 3.25 3.75 6.50
1 Year LIBOR Rate 4.17 3.13 5.00


http://www.bankrate.com/brm/ratewatch/other-indices.asp

[scheming daemons]

3. CNBC...... here

http://www.cnbc.com/id/26905693

[RevolutionStartsNow]

4. He means the overnight LIBOR

which is just one indication of bank lending rates.

The 3 month LIBOR is still quite high, though it's dropped in the past week.

[RevolutionStartsNow]

5. Here's a good roundup of what's been happening this week

http://money.cnn.com/2008/10/16/markets/bondcenter/credit_markets/?postversion=2008101613

The markets are loosening somewhat, but it's relative: our economy still sucks, and probably will for a long time.

The ONLY good news is that people are finally waking up and seeing that the economic policies of Bush and his administration have FAILED. And so we will probably get President Obama.

[Hannah Bell]

6. A week ago, the overnight Libor was 5.09% and had spiked as high as 6.88% after

the U.S. $700 billion bailout bill was signed into law on Oct. 3.

Meanwhile, the 3-month Libor edged lower to 4.50% from the previous day's rate of 4.55%, according to Bloomberg.com. While the rate has been easing, it remains at elevated levels. Just last week, it had surged to 4.82% - the highest since mid-December 2007. By comparison, it was only 2.82% a month ago....

Another key form of lending to major businesses and banks, known as commercial paper, remained tight with the market contracting for five straight weeks. Total outstanding commercial paper fell 2.6% in the last week and, while that was another drop, the pace of the decline was easing.

The "TED spread" retreated to 4.11% from 4.27% earlier, slightly lower than 4.37% Wednesday. The TED spread measures the difference between the 3-month Libor and the 3-month Treasury bill, and is a key indicator of risk. The higher the spread, the more unwilling investors are to take risks. The spread was 1.04% just a little over a month ago and had reached a record high of 4.65% on Friday.

Another indicator, the Libor-OIS spread, edged up to 3.42% and then retreated again to 3.39% from 3.41% on Wednesday. The Libor-OIS spread measures how much cash is available for lending between banks, and is used for determining lending rates. The bigger the spread, the less cash is available for lending.

The yield on the 3-month bill was 0.39%, higher than 0.22% late Wednesday.

The yield on the 3-month Treasury bill is closely watched as an immediate reading on investor confidence. Investors and money-market funds shuffle funds into and out of the 3-month bill frequently, as they assess risk in the rest of the marketplace.

http://money.cnn.com/2008/10/16/markets/bondcenter/credit_markets/?postversion=2008101613