In late 2007, as the U.S. subprime mortgage market began rapidly going south, leading to the second-worst economic collapse in U.S. history, economists and financial writers began writing about the ...

Put very simply, an interest rate swap occurs when a person or entity with debt makes a deal with a creditor in which that creditor will pay the other party’s variable rate debt. In the case of a ...

In October 2008, something happened that had never happened before. The United States (US) Treasury 30 year bond interest rate swap spread went negative, below the interest rates being paid on US ...

LIBOR flat was the base LIBOR rate with no added spread. Banks used LIBOR as a reference for setting various loan and deposit rates. LIBOR flat was central in interbank lending and interest rate swap ...

the fluctuating, variable rate of interest. If interest rates rise, as they did in the early years of this century, the bond issuer will never have to pay more than the agreed-upon fixed rate. But if ...