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Which of the Following Is True of LIBOR

Question 78

Multiple Choice

Which of the following is true of LIBOR?


A) It is the interest rate that London banks charge each other for Eurocurrency loans.
B) It is the rate bid by banks on Eurocurrency deposits.
C) It is the rate at which banks offer to lend unsecured funds to other banks in the euro wholesale money market.
D) It refers to the overnight indexed swap rate.
E) It is the reference rate for overnight-unsecured transactions in the Sterling market.

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