Illya Gerasymchuk
Entrepreneur / Engineer
the 4 key interest rates set by the FED are:
1️⃣ Overnight Reverse Repo Rate (ON RRP)
2️⃣ Interest on Reserve Balances (IORB)
3️⃣ Discount Rate - also known as Lending Rate
4️⃣ Standing Repo Facility (SRF)
we'll cover them in this order below
now let's understand each one of the 4 key rates set by the federal reserve to keep the market rates within the target range
namely, what each one of those rates represents and how together they act as ceiling or floor for the interest rate corridor