Glossary › interest rate
Trading glossary · fundamentals
interest rate
The price of borrowing money, paid as extra money on top of what you borrowed.
The fuller meaning
The cost of borrowing, most importantly the short-term rate set by central banks to manage inflation and growth. Higher rates tend to support a currency and weigh on bonds and stocks valued for distant growth; companies with heavy debt are more exposed to rising rates.
interest rate.
Related words
adoption · analyst estimate · balance sheet · Bank of Japan · beat · bond · book value · business cycle · cash flow · central bank