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The End of LIBOR: Hotel California Edition [Part II]

On October 1, 2024, the United Kingdom Financial Conduct Authority (UK FCA) phased out ‘Zombie’ LIBOR, as a transitional benchmark, with the move to alternative “risk-free” rates....more

The End of LIBOR? ‘Zombie’ USD LIBOR to Appear on July 1

Subject to appeal, ICE Benchmark Administration Limited (IBA) will be required to publish synthetic USD LIBOR beginning on July 1 so as to reduce any market disruption and maintain the orderliness of the financial system....more

Recommended Benchmarks or Credit-Sensitive Indices: The Best Path Forward?

The best benchmark for a company or a bank primarily depends upon the entity’s debt/interest rate swap situation as summarized below. This analysis also touches on the rationale behind the derivatives market's recent embrace...more

LIBOR Transition: Potential Higher Interest Rates and Resultant Job Cuts

How challenging is LIBOR Transition proving to be in the US structured finance market? Like street-corner proselytizers holding signs warning “The End is Near,” world markets, banks, and other financial institutions have...more

Repo Market Disruptions: In Reverse (Part II)

Based upon the records of the New York Fed and the Federal Reserve Economic Data (FRED) of the St. Louis Fed, the level of reverse repo activity on June 17th -18th reached unprecedented levels. It was previously reported...more

Summary of Municipal Liquidity Facility

The CARES Act authorized the Secretary of the Treasury to make up to $500 billion in loans, loan guarantees, and other investments for eligible businesses, States, and municipalities. The term sheet released by the Federal...more

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