What is Open Interest? Open interest refers to the total number of outstanding contracts for a particular options contract at any given time. It represents the number of options contracts that have been bought or sold but have not yet been closed out or exercised. Open Interest VS. Volume While open interest and volume are…
Understanding the Interest Rate Curve The interest rate curve is a graphical representation of the relationship between interest rates and the time to maturity of debt instruments. It is a valuable tool for investors, economists, and policymakers as it provides insights into the market’s expectations about future interest rates. The current interest rate curve is…
The Rise and Fall of Prime Interest Rates The prime interest rate, a benchmark used to set rates on various types of loans such as mortgages and credit cards, has a rich history marked by significant fluctuations. This article delves into the historical trajectory of prime interest rates, examining both the factors that have influenced…
An interest rate is a fee or charge levied on borrowed money or charged for the use of money. Interest is usually calculated as a percentage of the principal amount borrowed or deposited. Interest Rates Defined Interest rates are typically expressed as an annual percentage rate (APR). The APR is the total amount of interest…
