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Companies are turning to the commercial paper market to reduce interest costs and prepare for potential rate cuts from the Federal Reserve. Commercial paper, which has a short maturity, allows companies to quickly benefit from falling interest rates and can serve as a cheaper alternative to bank loans. Despite volatility in the market, corporate bond sales have remained strong. Issuance in the commercial paper market has increased since the initial economic shock caused by the pandemic. Companies are finding that the savings from commercial paper programs can outweigh the fixed costs, making it an attractive option. [Extracted from the article]