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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]

The article reports on the improvement of the $1.45 trillion commercial-paper market due to the U.S. Federal Reserve financial program. The interest rate cut to 1% and the decrease in commercial-paper rates have influenced the longer-term negotiations done outside of the government economic assistance initiatives increasing the demand for debts maturing in 30 to 90 days. According to a national data, firms borrowed $41.6 billion. General Electric Co., American Express Co. and the financing unit of Harley Davidson Inc. participated in the undertaking.

The article reports that the U.S. Federal Reserve Board released data on August 23, 2007 showing a decline in total outstanding commercial paper to $90.1 billion. The data is seasonally adjusted to $2.042 trillion as of August 22, from $2.132 trillion a week earlier. A decline of $90 billion was also recorded during the previous week. According to the article, the August 23 data indicate the increase in short-term rates.

Focuses on the commercial paper market in the United States, as of January 25, 2001. How the market serves as the biggest source of short-term funding for bluechip U.S. corporations; Impact of rising interest rates on the market; Predictions.

The article discusses signs of improving credit conditions. Demand for commercial paper issued by both U.S. and European banks has increased substantially, while the three-month dollar Libor has fallen to a record low. However, some banks are hoarding funds received for commercial paper, thus undermining government efforts to promote liquidity.

The article discusses signs of improving conditions in credit markets. On October 14, 2008 interest rates on commercial paper and corporate bond yields both declined. The cost of insuring debt issued by Morgan Stanley and Goldman Sachs Group Inc. fell dramatically. Kathleen Shanley of Gimme Credit notes that although U.S. government intervention in the financial industry has helped, credit markets still remain wary.

Those loans are disclosed in securities filings, but loans against other assets aren't typically publicly known. He pledged about 30% of his stake for the Goldman loan, according to securities filings; such loans are typically much smaller than the value of the pledged shares. Keywords: Banking; Commercial Banking; Banking/Credit; Financial Services; Integrated Banks; Government Finance; Government Budget/Taxation; Direct Taxation; Economic News; Capital Gains Tax EN Banking Commercial Banking Banking/Credit Financial Services Integrated Banks Government Finance Government Budget/Taxation Direct Taxation Economic News Capital Gains Tax N.PAG N.PAG 1 07/13/21 20210712 NES 210712 The wealthy are borrowing more than ever, using low-interest loans backed by their investments in a strategy known as "buy, borrow, die.". [Extracted from the article]

The article reports that interest rates on 30-day asset-backed commercial paper increased once more on December 6, 2007 to 6.25% from 6.00% on December 5. To obtain short-term financing, companies utilize the asset-backed sector of the commercial paper market. Rates rise in December yearly as issuers lock in financing that will last into the following year. The Federal Reserve reported that the U.S. commercial paper market decreased by $10.2 billion within the week with the asset-backed commercial paper contributing to all of the reduction.

The article reports that a shrinking commercial-paper market and the interest rate-cut of the U.S. Federal Reserve helped to unleash pent-up demand from companies aiming to increase funds in the investment-grade corporate bond market. It says that the new U.S. high-grade corporate debt amounted to more than $77 billion. Dominick DeAlto, senior portfolio manager at Robeco Weiss, Peck & Greer, states that the companies must drum up funds for aggressive moves such as share buybacks which raises supply of new bonds.

Reports on an interest payment made by Asia Pulp & Paper Co. of Indonesia in February 2001.

The article discusses deteriorating conditions in short-term money markets. For the week of September 24, 2008, the market for commercial paper suffered its largest contraction since August, 2007, and the week prior also showed a substantial decline. Short-term interest rates for corporate borrowing have been increasing.

The article presents several charts of money rates for October 9, 2012 including one that lists the prime rates in several countries, another that presents rates on commercial paper of various maturities, and a third that gives the one-, three-, six-, and twelve-month London interbank offered rates.

René Benko, the founder of Signa Holding, a global real estate company, has experienced a significant downfall as his $30 billion empire of trophy real estate and department stores has collapsed into the largest property bankruptcy in Europe since the global financial crisis. This collapse has the potential to cause substantial losses for lenders and investors and halt the progress of half-built developments in various city centers. Benko's empire included stakes in iconic properties such as the Chrysler Building and upscale British retailer Selfridges. The unraveling of Signa's corporate structure and excessive debt, combined with the end of the low interest rate era, contributed to this downfall. This article discusses the rise and fall of Signa Holding, a real estate empire led by Austrian billionaire René Benko. Signa acquired high-profile properties and expanded its department store empire across Europe, fueled by paper gains and high property valuations. However, as the company faced financial difficulties and the impact of the COVID-19 pandemic, it struggled to sustain its high rents and faced insolvencies and defaults. The empire's future remains uncertain, with stalled development sites and ongoing investigations into alleged government corruption. [Extracted from the article]

The article presents assorted charts and tables of financial data including a table of investment-grade spreads for selected companies including securities firm Morgan Stanley, a table of companies with the greatest number of shares that have been sold short including satellite-radio firm Sirius XM Radio, and a table of rates on commercial paper of various durations.

The article discusses the impact of U.S. government efforts to stabilize credit markets. Although rates on commercial paper have improved, high-yield corporate bonds still trade at levels that make it difficult for risky companies to raise funds. According to analyst Brian Yelvington, credit markets have reacted cautiously to a plan by the U.S. Treasury Department to help banks sell troubled assets.

The article discusses why the U.S. Federal Reserve is unlikely to raise interest rates soon. A sovereign debt crisis in Europe has produced several adverse consequences for the U.S. economy including falling stock prices, higher borrowing costs between banks, and reduced activity in the commercial-paper market. Futures prices indicate investors have lowered their expectations for interest-rate hikes by July, 2011.

A table is presented showing interest rates for various financial instruments in U.S. and international markets as of September 6, 2012, including the U.S. federal funds rate, Libor, and commercial paper.

The article discusses the views of Michael Woodford, the economics professor from Columbia University, regarding the fiscal policy of the U.S. Federal Reserve as of August 2012 with a focus on his presentation of a paper on the effect of low interest rates on the U.S. economy.

Several lists measuring the value of closed-end funds and money rates such as inflation, U.S. government rates, and commercial paper prior to the opening of trading on June 4, 2012, are presented.

The article discusses why investors should take advantage of leverage in 2010, particularly in the U.S. The reasons cited for making a loan are low interest rates and the possibility for future inflation to reduce the paper value of loans. Financial planner Christopher Jones advises investors to leverage cheap dollars to invest in areas that can generate higher returns over the longer term. Different ways for investors and customers to exploit leverage are detailed, which include those involving mortgages, automobile loans and credit cards.

The article reports on the emergence of the exit plan of the U.S. Federal Reserve (Fed) as it uses fewer tools to promote economic recovery. It notes that some programs, such as loans to investment banks in the securities industry and commercial-paper loans will expire in February 2010. According to Fed chairman Ben Bernanke, they have several programs to try to keep down interest rates. The reason why Fed officials are hesitant to sell down their mortgage-backed securities is explained.

The article reports that the possibility of an increase in rates by the Federal Reserve in the U.S. has eased pressure on longer-term Treasurys in 2009. It is noted that there is a potential for the 10-year-yield to go up to the key 4 percent level. It is also expected that rates would go up with the government's sales of $19 billion in reopened 10-year notes and $11 billion in 30-year paper.

The article reports that money-market funds amounting to over $43 billion was provided by investors in the week starting January 5, 2009 as yields continue to decline, according to iMoneyNet. In prime funds comprising of securities such as commercial papers, institutional investors contributed $32.62 billion and $2.28 billion came from individual investors. Government funds had inflows of $5.28 billion. The rates of short-term money-market retail funds decreased more compared to that in the earlier weeks.

The article discusses credit conditions in the U.S. Although LIBOR rates have fallen some, most other credit markets remain tight. The spread between Treasury and junk-bond yields is at a record, as were the corresponding spreads for the debt of Fannie Mae and Freddie Mac. The market for commercial paper continues to contract.

The article reports on a warning by Bill Gross, managing director of Pacific Investment Management Co., that the U.S. economy is on the brink of a lengthy recession if the U.S. Federal Reserve (Fed) does not take further action. He emphasizes the need for the Fed to start purchasing commercial paper, cut interest rates and act as a clearinghouse to break the environment of fear. He adds that interest rates would be cut to 1% due to asset deflation.

The article discloses that investors in Treasury securities are coping for more loses in the week December 10-17, 2007 despite the certainty of yet another U.S. Federal Reserve interest rate cut. The cost of money in interbank lending is still elevated and asset-backed commercial paper is rising. But hopes for a substantial easing in rates faded away from the bond market although there was an upturn due to modest gain in November employment report. The report also suggests that housing and credit woes have yet to leak into the broader economy.

The author comments on the U.S. Federal Reserve's decision to cut its discount lending rate. The purpose is to coax financial institutions to borrow, and thus begin to reliquify some of the capital markets that have seized up in the general panic over subprime mortgages and commercial paper. The author however argues that the discount move is no substitute for the more difficult job of financial crisis management.

Presents a list of key U.S. and foreign annual interest rates on commercial paper.

Presents information on U.S. and foreign annual interest rates for commercial paper, as of August 22, 2002.

Reports that some of Brazil's companies have postponed plans to borrow on international debt markets, as lending terms stiffen and foreign investors back off in the first quarter of 2000. Rise in the interest rate on Brazilian corporate bonds; Risks of foreign borrowing; Interest rate on domestic commercial paper.

Presents business news briefs from Europe, Africa and the Middle East as of May 11, 2000. April 2000 crude-oil output of the Organization of Petroleum Exporting Countries; Interest rate dilemma of the Bank of England; Procter & Gamble's British unit to reduce the wet strength of its Charmin toilet paper.

Discusses the growing concern among financial analysts and investors over bank stocks which have plummeted since the United States Federal Reserve raised interest rates in August 1999. The continuing erosion in commercial-loan quality despite the economy's overall vigor; How rising interest rates are affecting bank securities portfolios; Predictions that a few banks could be forced to start realizing their paper trading losses in the fourth quarter of 1999.

Discusses the performance of the United States stock exchanges on February 2, 1999. The drop in bonds and the dollar; The impact of the two-day United States Federal Reserve meeting on the market; When the announcement regarding interest-rates is expected; The gain of many economically sensitive stocks, such as International Paper.

Presents figures for key United States and foreign annual interest rates as of October 22, 1996. Includes prime rate; Discount rate; Federal funds; Commercial paper; Treasury bills.

Presents information on the key American and foreign annual interest rates as of October 21, 1996. Includes prime rate; Discount rate; Federal funds; Call money; Commercial paper; Certificates of deposit; Bankers acceptances; London late Eurodollars; London Interbank offered rates (LIBOR); Foreign prime rates; Treasury bills; Overnight repurchase rate; Federal Home Loan Mortgage Corp.

Lists key United States and foreign annual interest rates as of October 11, 1996. Includes prime rate; Discount rate; Federal funds; Call money; Commercial paper; Certificates of deposit; Bankers acceptances; London late Eurodollars; London Interbank offered rates (LIBOR); Foreign prime rates; Treasury bills; Overnight repurchase rate; Federal Home Loan Mortgage Corp.; Federal National Mortgage Association.

Presents information on key United States and foreign annual interest rates as of October 9, 1996. Includes prime rate; Discount rate; Certificates of deposit; Commercial paper.

Reports on interest rates in the United States and other countries as of September 12, 1996. Prime rate; Discount rate; Federal funds; Call money; Commercial paper; Certificates of deposits.

Presents information on interest rates in the United States as of September 11, 1996. Includes prime rate; Discount rates; Federal funds; Commercial papers.

Presents key American and foreign annual interest rates as of September 9, 1996. Prime rates; Discount rate; Federal funds; Call money; Commercial paper.

Reports on interest rates in the United states and other countries as of September 6, 1996. Prime rate; Federal funds; Commercial paper; Call money.

Reports on interest rates in the United States and other countries as of September 4, 1996. Prime rate; Discount rate; Federal funds; Call money; Commercial papers.

Presents a chart of key interest rates in the United States as reported by the Federal Reserve Board. Treasury bills; Commercial paper; Certificates of deposit; Treasury notes.

Reports on interest rates in the United States and other countries as of September 3, 1996. Prime rate; Discount rate; Federal funds; Commercial paper; Overnight repurchase rate.

Looks at the key United States and foreign annual interest rates as of August 27, 1996. Includes prime rate; Discount rate; Federal funds; Call money; Commercial paper; Certificates of deposit; Bankers acceptances; London late Eurodollars; London Interbank offered rates; Foreign prime rate; Treasury bills; Overnight repurchase rate.

Presents quotations for key annual interest rates in the United States and elsewhere posted on August 26, 1996. Prime rate; Discount rate; Call money rate; Commercial paper; Bankers acceptances; Merrill Lynch Ready Assets Trust.

Presents a list of key United States and foreign annual interest rates as of August 16, 1996. Prime rate; Discount rate; Commercial paper; Bankers acceptances.

Lists key American and foreign annual interest rates as of August 5, 1996. Prime rate; Discount rate; Federal funds; Call money; Commercial paper; Certificates of deposit; Bankers acceptances; London late Eurodollars; London interbank offered rates (LIBOR); Foreign prime rates; Treasury bills; Overnight repurchase rate; Federal Home Loan Mortgage Corp.; Federal National Mortgage Association; Merrill Lynch.

Highlights the performance of key United States and foreign annual interest rates as of July 29, 1996. Includes prime rate; Discount rate; Federal funds; Commercial paper.